Overview

• Technology and labor-related restrictions take effect immediately, with new licensing for materials and finished items—triggered at a 0.1% China‑sourced rare‑earth content threshold—starting December 1.
• Export licenses will be refused in principle for foreign military end users and watch‑listed entities, with outright bans tied to weapons of mass destruction and case‑by‑case reviews for advanced chips and AI with potential military applications.
• Controls now cover mining, smelting, separation, magnet manufacturing, recycling, and the assembly, maintenance, repair, and upgrading of production lines tied to rare‑earths.
• Chinese nationals and organizations are barred from assisting overseas rare‑earth mining, processing or magnet making without government approval, with authorities citing transfers for military uses as a security threat.
• The move precedes an expected Xi–Trump meeting, sparked gains in U.S. critical‑minerals stocks, and drew concern from European officials about industrial impacts, while reports in India said Beijing sought assurances against re‑exports to the United States.