China already dominates the supply of rare earths, the 17 elements critical for electric vehicles, wind turbines and advanced weaponry—and it’s tightening its grip. Beijing recently extended its quota system, which caps the amount of rare‑earth ores that companies can process, to include imported material reuters.com. The move follows the addition of several rare‑earth items to China’s export restriction list in April and comes after authorities quietly issued 2025 mining quotas without public comment reuters.com. Analysts say the new rules signal Beijing’s determination to control supply chains and ensure domestic firms have priority access.
Western governments have spent billions trying to develop alternative sources of rare earths, but for now China produces around 70 % of global supply. By limiting imports, Beijing may push up prices and make it harder for foreign companies to procure the materials they need. The policy shift underscores how geopolitical rivalry is reshaping the commodities landscape. Automakers and renewable‑energy firms must factor supply risk into their long‑term plans.
