China Halts Rare Earth Exports After Trump Imposes 145% Tariffs

Beijing has shut down all rare earth exports after President Trump hit Chinese goods with steep new tariffs — escalating an already tense trade standoff.

Rare Earth Shipments Frozen at Chinese Ports

According to The New York Times, China has stopped exports of rare earth minerals and magnets while drafting new rules that may block sales to companies like U.S. defense contractors.

Impact Across Key Industries

Rare earth magnets are essential in sectors such as automotive, electronics, aerospace, and defense — powering everything from electric vehicles and drones to missiles and robots.

Trump’s Tariffs Target China Directly

The sweeping tariffs, first announced in April, began at 20% and climbed to 145%. While most countries received a 90-day delay, China was excluded.

China Strikes Back With 125% Tariffs

In response, China introduced its own round of tariffs at 125%, further deepening trade tensions between the two superpowers.

New Export Controls on Critical Elements

On April 4, China imposed export controls on seven key rare earth elements — including dysprosium, terbium, scandium, and yttrium.
The move stops short of a ban but gives Beijing full control over who gets what.

Not China’s First Move on Strategic Materials

China has already restricted exports of other high-value minerals like gallium, germanium, graphite, and antimony, all crucial for modern tech.

U.S. Relies Heavily on Chinese Rare Earths

China currently supplies nearly 70% of the world’s rare earth materials.
The U.S. depends on Chinese exports to maintain its technology and defense sectors, according to the U.S. Geological Survey.

Washington Looks Elsewhere for Supply

In a bid to diversify, the U.S. is reportedly in talks with Ukraine to access its rare earth reserves. Russia has also expressed interest in joint mining — even in occupied Ukrainian territories.

Global Tech at Risk of Delays and Shortages

Rare earth metals are found in small amounts but are vital for modern life.
As trade tensions rise and exports tighten, industries worldwide could soon face delays, rising costs, and potential shortages.