China's rare earth exports to the U.S. drop 26% to 5,552 metric tonnes

China"s rare earth exports to the United States have significantly decreased, totaling 5,552 metric tonnes so far this year. This figure represents a 26% decline from last year"s exports of 7,446 metric tonnes, marking the lowest level in five years.

China currently dominates the global rare earth market, controlling 92% of global refining and 98% of magnet production. Analysts estimate that it would take Western countries approximately ten years to challenge this dominance. The strategic importance of rare earths has been acknowledged historically; Deng Xiaoping noted in 1992, “The Middle East has its oil, China has rare earths.”

China is responsible for the majority of rare earth mining, processing, and magnet production, which are essential components in various technologies, including jets, missiles, and smartphones. The current export decline is seen as part of Beijing"s strategy to leverage its control over these critical materials.

For more on related developments, see our coverage on Airbus Defence and Space and AED Cluster signing an MoU to replace the F-16 fleet.