[Observer Network, Liu Bai] Recently, foreign media have closely monitored China’s rare earth export controls. According to a report by Reuters on July 20th, China’s export of rare earth magnets to the United States surged to more than seven times that of May. This marks a strong recovery in the supply of key minerals needed for electric vehicles and wind turbines following the trade agreement between China and the US.
The report, citing data released by the General Administration of Customs on July 20th, states that as the world’s largest producer of rare earth magnets, China’s export volume to the US in June soared to 353 tons, an increase of 660% compared to May.
Overall, China exported 3188 tons of rare earth magnets to the world in June, marking a 157.5% increase from 1238 tons in May, but still down 38.1% compared to the same period in 2024.
On May 10, 2023, in Shanghai, a Chinese brand day, Northern Rare Earth showcased its rare earth products.
Analysts pointed out that with more exporters obtaining licenses in June, the export volume of rare earth magnets is expected to rebound further in July.
The report also mentioned that China accounts for over 90% of the global supply of rare earth magnets and decided at the beginning of April to include several rare earth products in its export control list in response to U.S. tariff measures.
Due to the lengthy approval process for export licenses, the export volume significantly decreased in April and May, disrupting the global supply chain and forcing some automobile manufacturers to suspend production due to a rare earth shortage.
In the first half of 2025, China’s total export of rare earth magnets was 22,319 tons, a year-on-year decrease of 18.9%.
On June 7th, a spokesperson for the Ministry of Commerce stated that rare earth items have dual military and civilian uses, and their implementation of export controls is in line with international practices. China legally implements export controls on rare earth items to better safeguard national security and interests, fulfill international obligations such as non-proliferation, and reflects a consistent position in upholding world peace and regional stability.
“We also note that with the development of industries like robotics and new energy vehicles, countries around the world are continuously increasing their demand for medium and heavy rare earths in civilian applications. As a responsible major country, China fully considers the reasonable needs and concerns of various countries in civilian fields, legally and according to regulations reviews export license applications for rare earth items. We have approved a certain number of compliance applications according to law and will continue to strengthen the review work for compliance applications. China is willing to further strengthen communication and dialogue with relevant countries on export controls to facilitate compliant trade,” said the spokesperson.