China imposed stricter controls on rare-earth materials and technologies, citing national security and potentially disrupting global electronics and defence supply chains.
China has expanded export controls on rare-earth elements and related technologies, citing national security concerns and the risk of transfers to foreign military users.
The new rules require government permission to export technology used to mine, separate, process or recycle rare-earth minerals, and to manufacture permanent magnets. Permits may be denied, and Chinese nationals and companies are barred from assisting those same activities overseas. Foreign manufacturers using Chinese machinery or components abroad are now expected to seek approval, though enforcement mechanisms were not detailed.
Companies must obtain ministry approval even for items containing small traces of Chinese-sourced rare-earths; holders of prior dual-use licences were urged to present them for inspection. The measures explicitly target dual-use supply chains: overseas defence users are unlikely to receive licences, while applications linked to advanced semiconductors will be assessed case-by-case.
Taken together, the rules extend April curbs that earlier tightened supply and triggered shortages. China controls roughly 70% of global rare-earth mining and the bulk of separation, processing and magnet production, making these controls a significant lever in ongoing US–China trade talks and ahead of planned high-level meetings. Analysts say the move increases Beijing’s negotiating leverage and could further strain global electronics and defence supply chains.