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China Rare Earth Export Ban 2025

  • China approved only 25% of rare earth export licenses since April 4, leading to Suzuki stopping Swift production and Ford halting Chicago Explorer assembly.
  • European suppliers are closing down, and rare earth inventories are depleting rapidly, with experts predicting a crisis surpassing the semiconductor shortage impacts by July if no diplomatic solutions are found.
  • China's new export controls on medium and heavy rare earth materials from April 4, 2025, are causing a global auto production crisis, initially stemming from U.S. trade tensions and now becoming a significant issue.
  • The rare earth supply chain nightmare in the automotive industry is becoming a reality, as China's export restrictions on vital rare earth materials are severely impacting global production efficiency.

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