After China's control over rare earth elements, the US reaction can be described by some of our words: when the neck is pinched, they roll their eyes; when it's released, they brag! Honestly, we didn't realize how effective the "rare earth card" could be at first. It was thanks to the continuous pressure from the US that we realized the sharpness of our sword. Since this sword works so well, let the US get confused between "rolling their eyes" and "bragging".
According to a Reuters report, China has introduced a tracking system in the rare earth magnet industry. The system came into effect last week - requiring producers to submit additional information online including transaction volume and customer names. Due to China's control over rare earth elements, the price of rare earth on the international market has doubled, which has had a significant impact on the price-sensitive automotive industry, exacerbating the loss of US manufacturing.
This shows that the number of cards doesn't matter as long as they work well. Since 2018, the US has played trade cards, chip cards, Taiwan cards, tariff cards, etc., etc. But so far, none of these cards have been truly effective because we have alternatives. Even in the shortest chip industry, the US cannot cut off the supply completely. However, if we really take our rare earth resources seriously, it can be fatal.
Original article: https://www.toutiao.com/article/1834087007074315/
Disclaimer: This article represents the author's personal views.