Chinese rare earth suppliers have begun suspending some shipments to US companies, even when they have the necessary export licenses. According to the information, the companies are concerned about possible sanctions and penalties from Beijing amid growing tensions between the United States and China. The delays are keeping supplies of critical materials tight, while prices remain close to record levels.
Rare earth metals are widely used in the defense industry, semiconductor manufacturing, aerospace and the energy sector. Some US companies have been waiting for export licenses for more than six months, making it increasingly difficult for them to operate, reports. While exports of many rare earths or related magnets have rebounded since China imposed restrictions in April 2025, the prices of certain rare earths and critical materials like yttrium, indium phosphide and tungsten that have military applications or are used in sensitive industries including aerospace or chipmaking remain near record highs with tight supply.
The issue of rare earth supplies is expected to be among the topics discussed by Washington and Beijing ahead of Chinese President Xi Jinping’s planned visit to Washington on September 24. At present, China dominates the global rare earth industry. It controls a significant share of the world’s processing capacity and plays a central role in supplying these materials to other economies.
China provides a substantial portion of the European Union’s rare earth needs (40%), while other important suppliers include Australia, South Africa, Canada, and Brazil. Here we are to serve you with news right now. It does not cost much, but worth your attention.
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