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China cuts exports of vital rare earth minerals as trade war with U.S. intensifies

  • China restricted exports of seven rare earth minerals to the United States this April, requiring export licenses amid escalating trade tensions.
  • This measure responds to U.S. Tariffs imposed during the ongoing trade war and aims to leverage China's dominance over rare earth supply chains.
  • Rare earths, essential for electric vehicle batteries, defense technology, and AI infrastructure, face export pauses that could disrupt U.S. Defense and technology industries.
  • The U.S. Relies on China for about 70% of its rare earth imports and has invested over $439 million since 2020 to develop domestic supply chains by 2027.
  • The export controls highlight U.S. Vulnerabilities and likely prolong efforts to catch up with China, while intensifying the fractured global economy around critical minerals.
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India Today broke the news in India on Tuesday, April 8, 2025.
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