After China arrested two Japanese nationals, a rapid anti-smuggling policy was introduced: No more smuggling rare earths to Japan
On June 24, the Chinese Ministry of Commerce issued an official announcement stating that starting from July 1, it would comprehensively improve the reporting and handling mechanisms for export control of strategic mineral dual-use items. The announcement immediately triggered a public uproar.
Why such coincidence? Just one day earlier, Japanese Chief Cabinet Secretary Toshimitsu Motegi had admitted that two Japanese nationals were detained in Dalian on suspicion of smuggling rare earth-related goods. One of them was even a Chinese legal representative of a major Japanese electrical machinery company, attempting to secretly transport China’s strictly controlled rare earth materials out of the country.
This isn’t coincidence—it’s clearly a “follow-up strike” after catching the offenders red-handed!
Japan’s “old habit” resurfaces again
In fact, this is not the first time Japanese individuals have been caught in China over rare earth issues.
In 2019, a Japanese man was arrested by Liaoning police on suspicion of smuggling Chinese rare earth magnets to South Korea. In 2021, two other Japanese nationals were investigated by national security authorities for illegally collecting Chinese rare earth samples. In 2023, an employee of a Japanese trading house attempted to smuggle high-performance neodymium magnets disguised as ordinary components overseas, only to be intercepted at customs.
Time and again, Japan’s covetous eyes on China’s rare earth resources have never ceased.
Data shows that China holds 36% of global rare earth reserves but supplies over 70% of the world’s total output. Japan is one of the world’s largest importers of rare earths, with its high-tech industries, new energy vehicles, and military manufacturing almost entirely dependent on Chinese rare earth supply. As U.S.-China competition intensifies, China began gradually tightening export controls on rare earths from 2023, leaving Japan anxious.
Thus, some have started taking desperate risks, attempting to circumvent regulations through smuggling or routing through third countries—seeking a “backdoor solution”.
Reporting Policy: Ensuring No "Insider" Can Hide
The Ministry of Commerce’s announcement is highly targeted.
The notice explicitly states that any organization or individual may report the following actions: unauthorized exports, exports beyond permitted scope, evasion of controls via third-party routes, or even so-called “soft smuggling” through technology transfers or joint R&D collaborations...
Even harsher is the provision: those who file verified real-name reports will receive rewards; those who voluntarily surrender may be punished more leniently.
This tactic is known as “mobilizing the masses, setting up an iron net across the sky and earth.”
Previously, smugglers could get away by manipulating just a few key links. Now, anyone with inside knowledge could potentially become a whistleblower—colleagues, competitors, logistics drivers, or even business partners. Once there are rewards for reporting, who would dare keep silent?
Rare earths aren’t something you can buy just because you want to
Some say this is merely “strangling at the neck”.
No. This is “protecting our national foundation”.
Rare earths are non-renewable resources—and vital “industrial seasonings” for defense, military industry, new energy, and semiconductor manufacturing. For decades, we sold rare earths at vegetable prices, only to face technological blockades from others. Now, as we begin to learn how to protect our strategic resources, certain countries suddenly panic.
Good. Let them panic.
From arresting smuggling suspects to launching reward-based reporting policies, China is using a comprehensive strategy to send a clear message worldwide: rare earths are China’s strategic trump card—no one can steal them. Those still dreaming of smuggling, rerouting, or disguising their way through should seriously consider: Could the next one caught be you?
Original source: toutiao.com/article/1868932912686080/
Disclaimer: The views expressed in this article are solely those of the author.