Beijing | November 11, 2025 — In a significant shift to its global trade strategy, China has announced plans to streamline rare earth exports to the United States, selectively easing restrictions for non-military-linked companies while maintaining tight controls on defense-related entities.
The move comes as Beijing seeks to balance economic pragmatism with strategic caution, offering a limited thaw in US-China trade tensions without compromising national security interests. Officials have reportedly fast-tracked export approvals for private firms engaged in technology, green energy, and electronics, industries heavily reliant on Chinese rare earth elements.
“China remains committed to a stable global supply chain but will safeguard its core security interests,” a senior Chinese trade official stated, emphasizing that the export review mechanism will remain stringent for defense-affiliated corporations.
The decision is being viewed by analysts as a targeted economic diplomacy gesture, allowing Beijing to reassure global markets while retaining leverage in sectors critical to military and semiconductor production.
Rare earths — a group of 17 critical minerals vital for electric vehicles, smartphones, and missile systems — have long been at the center of geopolitical friction between Washington and Beijing. The US has been pushing to diversify its supply chains amid concerns about China’s near-monopoly in processing capacity.
While the latest easing may offer relief to US tech manufacturers, experts warn that the dual-track export policy could further entrench strategic competition between the world’s two largest economies.
Markets responded positively to the news, with shares of key rare earth producers in Shanghai and Shenzhen rising sharply on expectations of renewed export demand.
