Overview

• China's new export controls on seven rare earth elements, including dysprosium and terbium, now require licenses issued by the Chinese Communist Party.
• U.S.-bound exports of critical metals like tellurium and tungsten have plummeted, with tungsten rod shipments falling by 84% in March, according to customs data.
• Western auto manufacturers, including Tesla, face significant disruptions as stockpiles of key materials are projected to last six months or less.
• China's near-monopoly on rare earth mining and processing, controlling 70% of global supply and 90% of refining capacity, has amplified its geopolitical leverage.
• Nations like Japan and India are accelerating efforts to diversify supply chains, build stockpiles, and boost domestic production to mitigate reliance on Chinese exports.