Foreign media closely watch China's rare earth exports: US export volume at highest in 9 months, some worry about Japan

Reuters reported on November 20 that according to the latest data released by Chinese customs, the export volume of rare earth magnets from China in October decreased by 5.2% month-on-month, continuing for the second consecutive month, but the shipment to the United States surged to the highest level in 9 months.

As the world's largest producer and exporter of rare earth magnets, China's rare earth magnet exports in October reached 5,473 tons, which is lower than September's 5,774 tons, but increased by 15.8% compared to 4,725 tons in the same period in 2024.

However, exports to the United States increased sharply by 56.1% month-on-month in October, reaching 656 tons, the highest since January this year.

Industry insiders said that China has begun to design a new rare earth licensing system, which may speed up shipments, but it is unlikely to reach the level that Washington hopes for completely removing restrictions.

By country, Germany, the United States, South Korea, Vietnam, and India were the top five destinations for China's rare earth magnet exports last month.

This year, China's cumulative exports of rare earth magnets reached 45,290 tons, a decrease of 5.2% year-on-year. The export volume reached a seven-month high in August.

"Nikkei News" also noted the October data, stating that China's exports of rare earth magnets to the United States in October were 656 tons, an increase of 4.5% year-on-year. This was the first year-on-year growth in three months, with a 56.1% increase compared to the previous month.

The report mentioned that in the context of the deadlock in Sino-US negotiations, China reduced its exports of rare earth magnets to the United States to 46 tons in May (more than 400 tons per month in 2024), and requested the United States to ease restrictions on Chinese semiconductors, etc. As the negotiations progressed, exports to the United States rose to 619 tons in July, then declined in August and September.

By country, the exports to Germany increased by 55.9% year-on-year to 1,118 tons, ranking first, followed by exports to the United States. Third place was exports to South Korea, with 569 tons, an increase of 31.3% year-on-year.

The Japanese media particularly focused on exports to Japan: exports to Japan in October increased by 30.2% year-on-year to 226 tons. However, if rare earth magnet semi-finished products such as magnetic powders and alloys are included, the exports decreased by 18.3% to 538 tons.

The report stated that due to the Japanese Prime Minister Taro Aso's testimony in the Diet regarding "Taiwan's situation," China is exerting economic pressure on Japan, and there are concerns that this situation could expand to the rare earth sector.

In global rare earth production, China accounts for 70% of the share, and the production of rare earth magnets exceeds 80% of the share. Experts familiar with rare earths pointed out: "In rare earths, the exports of heavy rare earths to the United States and Japan remain very limited."

China has repeatedly emphasized on the issue of rare earth export controls that the relevant measures are normal practices to improve China's export control system in accordance with laws and regulations, reflecting China's major power responsibility to maintain world peace and stability. China is committed to maintaining the security and stability of the global supply chain.

Original: www.toutiao.com/article/1849393336614924/

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