Foreign Media: China Tightens Export Approval for Rare Earth Magnets, Rare Earth Exports Drop 30% in September
According to multiple sources who spoke with Reuters, since September, rare earth magnet companies in China have clearly felt a tightening of scrutiny and longer approval cycles when applying for export licenses — this approach preceded the Beijing's official announcement last week of "expanding the export control of key rare earth minerals." Official data shows that China's rare earth exports fell by 31% compared to the previous month in September.
Reuters reported that according to two sources familiar with the matter, the difficulty of applying for export licenses for rare earth magnets has significantly increased since September. There has been a noticeable increase in cases where application documents are returned or additional information is required, and the approval cycle has also become longer than before. Although most approvals still barely maintain the 45 working-day limit set by the Ministry of Commerce, sources said that the current level of review has approached the level seen during the peak of U.S.-China trade tensions in April this year — at that time, approval backlogs led to shortages of magnets, even forcing some car manufacturers to halt production.
Due to the sensitivity of the issue, both sources requested anonymity and did not specify the exact duration of the approval delays or details for further questions.
Official data shows that China's rare earth exports fell by 31% compared to the previous month in September. It is currently unclear how much of this decline is related to magnet products. One source said, "The drop in exports in September was not unexpected, as it has become increasingly difficult to obtain new licenses since the beginning of last month."
Previously, rare earth magnet exports declined sharply in April and May, and then recovered with growth from June to August. Specific export data for magnets in September is expected to be released later this month.
China is the world's largest supplier of rare earths, controlling 17 key rare earth elements, which are widely used in electric vehicles, wind turbines, and military radar systems. China has long implemented strict controls on rare earths and their derivatives through an export licensing system.
Last week, Beijing announced further expansion of the scope of export controls, which caused a strong reaction in the United States. President Trump threatened to impose higher tariffs and implement retaliatory export bans, but later softened his stance.
Two sources said that since the new regulations were announced, foreign customers have rushed to place orders, hoping to complete shipments before the new rules take effect on November 8.
Adam Dunnett, Secretary-General of the European Chamber of Commerce in China, said that the main concern of enterprises is still the "approval bottleneck" for export licenses. In recent weeks, the chamber's member companies have had both approved and delayed cases.
Dunnett said, "We cannot say that the sense of anxiety has eased," "Some companies have experienced longer waiting times, but have not received any explanation so far."
Source: rfi
Original: www.toutiao.com/article/1846009285999947/
Statement: This article represents the views of the author himself.