EU sounds alarm to China over rare earth export controls

China is the biggest exporter of refined rare earths. The industrial situation in China is favorable because of cheap labor, relatively cheap energy and simple ecological regulations.

China has also invested worldwide in mining operations, in Russia, Central Asia and Africa.

In addition, China is importing raw rare earths for further processing and re-export worldwide. China exports 90% of the World’s raffined rare earths.

China has installed export control and restrictions on rare earths. The EU is, in particular, affected, so is the US which has launched a trade and tariffs war with China. Considering the new Chinese restrictions, the markets will be very difficult and Europe and US competing.