China's export controls on rare-earth minerals are raising concerns in 2025 among global manufacturers. These controls could potentially disrupt production in various sectors, including defense, energy, and automotive.
In April 2025, China imposed export restrictions on seven rare-earth elements and magnets, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium. These materials are essential for numerous industrial applications.
These restrictions necessitate companies to secure special export licenses, which may lead to delays and supply chain challenges. Industries worldwide are now seeking to diversify their supply chains and enhance domestic mining and processing capabilities to mitigate the impact of these controls.