BEIJING: China’s exports of rare earth magnets to the United States skyrocketed in June, surging more than six times compared to May.
The rebound follows a trade agreement between the two nations, easing restrictions on critical minerals essential for electric vehicles and wind turbines.
Customs data released on Sunday revealed shipments to the US surged to 353 metric tons in June, a 660% increase from the previous month.
The recovery comes after negotiations in June resolved trade disputes, including Nvidia’s plan to resume sales of its H20 AI chips to China.
China, responsible for over 90% of global rare earth magnet supply, had imposed export restrictions in April in response to US tariffs.
The move led to severe shortages, disrupting supply chains and forcing some automakers outside China to halt production temporarily.
Total exports of rare earth permanent magnets in June reached 3,188 tons, a 157.5% rise from May. However, the figure remains 38.1% lower than June 2024 levels.
Analysts expect further recovery in July as more exporters secure necessary licenses.
In the first half of 2025, China’s rare earth magnet exports fell 18.9% year-on-year to 22,319 tons. - Reuters
