Despite Export Controls: China Ships More Rare Earths

by | 7. Nov 2024 - 08:50 | Economy

Conflict in the mining region of neighboring Myanmar stirs uncertainties in the industry.

China launched a set of regulations regarding the export of rare earth elements in October. However, a possible decline or even temporary halt in exports, as was seen with gallium and germanium—whose export is tied to more stringent restrictions—has not yet occurred with rare earths. Recent data from the Chinese customs authority show an increase of nearly 14 percent in the past month compared to September, reaching 4,753 tons. Compared to the same month last year, ten percent more of this resource group was exported abroad.

Export of rare earth elements in October 2024

Uncertainties on the Horizon

Meanwhile, China’s total foreign trade again showed mixed results in October. While exports rose to the highest level since July 2022, imports slightly declined, Bloomberg reports. The U.S. presidential election could also pose a risk to China’s future exports, as the president-elect, Donald Trump, has announced high tariffs on Chinese goods.

Uncertainties also threaten the rare earth industry and downstream sectors due to developments in Myanmar, a key supplier of heavy rare earths that are further processed in China. Myanmar has seen ongoing conflicts between the military junta and rebel groups for years; recently, one of these armed groups achieved military successes in northern Myanmar, where rare earth mining centers are located (we reported).

Photo: pedrosala via Canva