China is tightening its grip on rare-earth exports in a high-stakes economic play, threatening global supply chains in sectors like technology, defense and semiconductors, yet analysts warn the move could backfire by accelerating diversification efforts and provoking harsher U.S. tariff retaliation.
On Oct. 9, China expanded its export controls on rare earths and magnet-related materials, critical components in the production of semiconductors, electric vehicle batteries, defense systems and AI hardware.
