China signals readiness on rare earth talks, approves more exports

SCMP | June 8, 2025, 2 a.m. | Original

China accounts for around 70 per cent of global rare earth mining and around 90 per cent of the refining of these minerals. Photo: Reuters

China has approved some qualified rare earth export applications and is ready to deepen dialogue with nations over export controls, as the strategic resource continues to take centre stage in Beijing’s trade negotiations with Washington.

In a statement posted on its official website on Saturday, the Chinese Ministry of Commerce said: “We have observed growing global demand for medium and heavy rare earths in civilian sectors such as robotics and new energy vehicles, as these industries continue to expand.”

It added that, as “a responsible major power”, China had taken the legitimate civilian needs of other countries into account, approved qualified export applications in line with the law, and would continue strengthening its compliance review process.

“China is willing to enhance communication and dialogue with relevant countries on export controls in order to facilitate compliant trade,” the statement read.

Rare earths – a long-held bargaining chip for China in its dealings with the United States – are at the heart of the trade tug of war between the rival powers.

China’s rare earth export controls are expected to be among the top items on the agenda when Vice-Premier He Lifeng meets US trade and Treasury officials in London this week, a month after he led the Chinese side in negotiations held in Geneva in May.

05:04

US, China agree to ‘trade consultation mechanism’, conduct further talks, He Lifeng says

US, China agree to ‘trade consultation mechanism’, conduct further talks, He Lifeng says

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