China announced Thursday new control and export restriction measures on materials and technologies related to rare earths — key resources for the digital, automotive and energy industries.
“Starting from November 8, items related to super-hard materials, equipment and raw materials linked to rare earths, the five medium and heavy rare earth elements including holmium, lithium batteries, and synthetic graphite anode materials will not be allowed to be exported without approval,” the Chinese Ministry of Commerce said in a statement.
As the world’s leading producer of these materials, China has implemented a licensing system for certain rare-earth-related exports — a recurring point of tension with the United States and the European Union.
The new regulation also applies to “technologies used for the assembly, adjustment, maintenance, repair and upgrading of production lines,” the statement said.
Additional extraterritorial restrictions will also apply to entities exporting products made from Chinese rare earths or using Chinese rare-earth technologies, the ministry said in a separate notice.
China dominates global extraction and refining of rare earths, giving it a significant strategic advantage, and holds a large number of patents related to rare earth production.
According to data from the U.S. Geological Survey, global reserves of rare earths are estimated at 110 million tonnes, more than one-third of which — about 44 million tonnes — are located in China.
