Catenaa, Saturday, April 19, 2025- China has suspended all exports of rare earth minerals and related magnets, cutting off critical supplies to the US, Japan, Germany and other nations in response to President Donald Trump’s sweeping “Liberation Day” tariffs.
Beijing imposed export restrictions April 4, requiring licenses for rare earth shipments. However, the licensing system remains inactive, effectively freezing exports worldwide. Customs officials at Chinese ports are blocking all rare earth shipments, including those bound for longtime trade partners, the *New York Times* reported.
The move intensifies China’s response to Trump’s latest tariffs and underscores Beijing’s leverage over essential materials used in defense systems, electric vehicles, semiconductors, and aerospace technology.
Rare earths represent a minor portion of China’s exports but play an outsized role in global high-tech and military manufacturing. Beijing’s Ministry of Commerce and the General Administration of Customs jointly issued the ban, targeting US defense contractors in particular.
In a statement, China’s US embassy cited national security and non-proliferation commitments as justification, pointing to the dual-use nature of rare earths.
The Trump administration has responded by considering new sourcing strategies. President Trump has pursued rare earth deals with Greenland and Ukraine and ordered agencies to identify domestic and offshore mining options. A second executive order is in progress to support deep-sea mining and rare earth stockpiling.
National Economic Council Director Kevin Hassett acknowledged the growing concern Monday, saying, “We’re thinking about all the options right now.”
