China rare earth exports grind to a halt as trade war controls bite

FILE PHOTO: Workers transport soil containing rare earth elements for export at a port in Lianyungang, Jiangsu province, China October 31, 2010. - Reuters

BEIJING: Shipments of seven rare earths placed on an export control list last week by Beijing have ground to halt, three sources said, raising the risk of shortages overseas as Chinese exporters begin the long, uncertain wait for government licences.

Shipments stopped on April 4, the sources familiar with the matter said, when Beijing restricted the export of seven rare earths and related material used across the defence, energy and automotive industries as part of its retaliation against US President Donald Trump’s tariff hikes on Chinese goods.