China Export Curbs Drive Global Rare-Earth Price Spikes
The Government of China imposed export curbs on rare-earth elements, causing global prices to surge and straining semiconductor and defense manufacturing in the United States and Japan.
Rare-earth elements are trading at significant multiples of their domestic value outside China, signaling severe global supply strains. This price gap follows export curbs imposed by the Government of China, which maintains dominance over the critical minerals supply chain.
These restrictions limit the availability of materials essential for semiconductors, aerospace, defense, and electric vehicle magnets. Manufacturers in the United States and Japan are experiencing acute supply squeezes as a result of the curbs.
The supply urgency intensifies ahead of a scheduled meeting later this month between U.S. President Donald Trump and Chinese President Xi Jinping.
