China has intensified its rare-earth export controls, introducing stricter licensing and permit requirements for both civil and non-civil shipments. This move, in response to escalating U.S. sanctions and geopolitical tensions, aims to increase compliance hurdles rather than impose a total ban. In September, export volumes fell to 6,538 tons from 7,338 tons in August, indicating the immediate impact of these measures.
The tightened controls are expected to affect pricing and supply chains in various sectors, including crypto mining, electric vehicles, and aerospace. While officials stress that the goal is long-term stability, the new regulations could pose challenges for global tech and crypto industries reliant on these materials. Civil-use trade remains permitted, provided compliance is maintained.
China Tightens Rare-Earth Export Controls Amid Geopolitical Tensions
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