Overview

• The department’s July 2 revocation allows Gulf Coast exporters including Enterprise Products Partners, Energy Transfer, Satellite Chemical USA and Vinmar International to both load and offload ethane destined for China.
• Washington imposed strict license requirements on ethane exports in late May during a rare earth mineral export dispute with China.
• Conditional approvals issued in late June permitted loading but continued to bar offloading of ethane in Chinese ports without additional authorization.
• U.S. ethane exports to China plunged to a record low of 57,000 barrels per day in June, underscoring pressure on American energy producers and Chinese petrochemical plants.
• The policy reversal underscores how Washington has deployed export controls on energy feedstocks and rare earth minerals as leverage in the broader U.S.-China trade relationship.