China has announced new export restrictions on rare earth materials, tightening controls on critical minerals used in defense systems, semiconductors, and renewable technologies. The move is widely seen as part of Beijing’s strategy to strengthen leverage in global supply chains amid ongoing tech rivalries with the West. The Ministry of Commerce said the rules aim to safeguard “national security and resource interests.” Analysts warn the decision could disrupt global chip production and raise costs for Western manufacturers dependent on Chinese exports.
The restrictions underline China’s dominant position — producing over 60% of the world’s rare earths — and its willingness to wield that power strategically.