Here We Go Again
Rare earth minerals, essential for high-tech, become a pawn in global power plays.
Trump and one of his best buds, Xi, were supposed to meet next month in South Korea. But maybe the bromance is over, because China just announced new rules expanding the list of controlled rare earths that require licenses for export, restricting the types of rare earth recycling and processing equipment that can be sent abroad, and clamping down on the use of Chinese rare earths in the overseas chip sector and in military applications[1], [2], [5]. Trump is apparently all wound up about it.
“Dependent on what China says about the hostile “order” that they have just put out, I will be forced, as President of the United States of America, to financially counter their move. For every Element that they have been able to monopolize, we have two. I never thought it would come to this but perhaps, as with all things, the time has come. Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A. One of the Policies that we are calculating at this moment is a massive increase of Tariffs on Chinese products coming into the United States of America. There are many other countermeasures that are, likewise, under serious consideration. Thank you for your attention to this matter!”
It ain’t like it hasn’t happened before. They pulled this in April after Trump slapped tariffs on them [1]. It’s another pissing contest, only with higher stakes this time around [6]. For reference, China mines about 60% of the world’s rare earth elements, and processes 80% of them. They can stand pretty far back from the urinal.
“National Security”: A Convenient Veil
Beijing’s official line, because everything is a party-approved official line, is that the export tariffs and rules are about enhancing national security and preventing these critical materials from falling into “sensitive fields such as the military” [1], [2], [4]. Sure, Jan.
These rare earths aren’t just dirt; they’re the lifeblood of a whole slew of high-tech and military products, from advanced computer chips to missile guidance systems [2], [4], [5]. China knows what they’ve got, who needs it, and they are champs in the art of the deal.
What?
They’ve Got It, Everyone Else Needs It
So, that’s the reality: most major rare earth magnet manufacturers in the U.S., Japan, and everywhere else are jammed up, depending on China for their supply [2]. It’s like a game of rare-earth Uno; everyone else was throwing down reverses and draw cards, and forgot that China was down to one card.
This is going to put a whole bunch of folks in a bind, especially for companies involved in military applications of Chinese-sourced rare earths; there’s a good chance that those export licenses are going to be denied, straight up [2], [4].
Tightening the Noose
China ain’t playin’. These new curbs go past just the raw materials; they are now demanding official licensing for the technologies and equipment used in rare earth mining and smelting itself [4], [7]. They know they have the world by the balls, and they’re gonna start squeezing.
Beijing’s looking to monopolize and tighten its grip over global production processes, not just the output [4], [5]. They’re not just selling the fish; they’re controlling the entire goddamn ocean.
What Happens Now?
I’m shocked, said no one ever. This totally predictable move just shows that the way we get our stuff from all over the world is a complete disaster waiting to happen. It practically screams that maybe, just maybe, we need a real plan that doesn’t involve depending on China for everything. [6]. We’ve been warned.
Yet, here we are again, caught wiuth our pants down, witnessing China flex its rare earth muscle. How many more times do we need to get burned before we finally learn our lesson [6].
Sources & Footnotes
- https://www.npr.org/2025/10/09/g-s1-92685/china-curbs-rare-earth-exports-raising-stakes-before-trump-xi-talks ↩
- https://www.nbcnews.com/business/business-news/china-outlines-controls-exports-rare-earths-technology-rcna236712 ↩
- https://www.youtube.com/watch?v=5ZuDi5pAiw0 ↩
- https://www.cnn.com/2025/10/09/business/china-tightens-rare-earth-export-controls-intl-hnk ↩
- https://www.nytimes.com/2025/10/09/business/china-rare-earth-exports.html ↩
- https://www.rff.org/publications/issue-briefs/the-strategic-game-of-rare-earths-why-china-may-only-be-in-favor-of-temporary-export-restrictions/ ↩
- https://m.economictimes.com/news/economy/foreign-trade/rare-earth-turns-even-rarer-as-china-sets-new-rule-world-stares-at-the-unknown-india-fumbles-for-options/articleshow/124452796.cms ↩
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