Summary
China has tightened its export rules for rare earth elements, which are important for making many high-tech products. These new rules aim to control how these minerals and related technologies are shared internationally, especially with certain foreign companies. This decision happens during ongoing trade discussions between China and the U.S.
Key Facts
- China announced stricter export rules for rare earth elements.
- Rare earths are important for making products like loudspeakers, electric car motors, and jet engines.
- Exports of these elements to foreign arms manufacturers and some semiconductor firms are likely to be blocked.
- New regulations require government permission to export certain mining and processing technologies.
- Chinese companies need government approval to work with foreign firms on rare earths.
- The rules detail restrictions on mining, smelting, and making magnetic materials from rare earths.
- China's share of rare earth production is about 61%, and it processes around 92% of these elements globally.
- The rules could affect the U.S., which has rare earth mining but limited processing abilities.
