Overview

• German industry leaders backed by the BDI have warned that delays in China’s export license approvals threaten production in sectors from automotive to electronics.
• BDI expert Stefan Steinicke cautioned that tightened export controls could block Europe from building strategic reserves and leave manufacturers exposed to Beijing’s market leverage.
• Chinese Foreign Minister Wang Yi and Commerce Ministry officials pledged that the new fast-track process will ensure stable rare earth supplies for compliant European and German applicants.
• Efforts to build domestic mining and processing capacity in Western countries remain minimal and high-risk without significant state subsidies.
• Rare earth elements are critical for electric vehicle motors, sensors and defense systems, driving the EU’s Critical Raw Materials Act to target reducing single-country import dependence below 65% by 2030.