China eases international concerns about rare earth supply chain

Đất hiếm chuẩn bị xuất khẩu được bốc xếp tại Liên Vân Cảng, tỉnh Giang Tô, Trung Quốc. Ảnh: AFP/TTXVN

Rare earths prepared for export are loaded at Lianyungang, Jiangsu province, China. Photo: AFP/TTXVN

As China's rare earth export restrictions send ripples across global supply chains, officials have sought to ease international concerns.

During discussions on the sidelines of the International Monetary Fund (IMF) annual meetings, the Chinese delegation sought to reassure its counterparts that the tightening of export controls would not harm normal trade flows. Officials explained that the Chinese government was seeking to build a long-term mechanism and that this was merely a response to provocations from the US, according to sources familiar with the matter.

But China’s measures are already having an impact. According to customs data, the country’s exports of rare earth products fell to 6,538 tonnes in September from 7,338 tonnes in August. The decline reversed a steady increase over the previous several months that had pushed August exports to their highest level since 2012.

China's unprecedented move has sparked a global backlash, worrying European and Japanese officials. The escalating tensions have also given the US an opportunity to rally its allies.

However, many countries, including the Group of Seven (G7), appear to be taking a wait-and-see approach to the expected meeting between US President Donald Trump and Chinese President Xi Jinping before taking any concrete action.

Japanese Finance Minister Katsunobu Kato has struck a cautious tone, warning that if retaliation triggers a cycle of escalation, it could have a negative impact on the global economy and markets.

For its part, the US has also taken steps to ease tensions. Treasury Secretary Scott Bessent has spoken by phone with Chinese Vice Premier He Lifeng and is expected to meet next week to prepare for the summit. President Trump has also expressed optimism about the possibility of reaching an agreement.

Source: https://vtv.vn/trung-quoc-xoa-dieu-lo-ngai-quoc-te-ve-chuoi-cung-ung-dat-hiem-100251020093915569.htm