China, which dominates global rare earth production and processing, is leveraging its control over these critical minerals amid rising tensions with the U.S., restricting exports of seven rare earths vital to defense and tech industries. The move highlights U.S. vulnerabilities in supply chains, with analysts warning of potential price shocks and disruptions to military readiness, while calls grow for domestic production and alternative global sources.

“What oil was to the 20th century, rare earth minerals are to the 21st,” says Sean McFate, adjunct professor in Maxwell's Washington programs. “Microchips, green technology, and quantum computing all require rare earths, and China has the bulk of them. It's a national security imperative that goes beyond the stock market.”

Dimitar Gueorguiev, associate professor of political science, says he sees the latest restrictions more as a move by Beijing to signal “its ability to throttle these exports should the trade war escalate further.”

“It's important to keep in mind that most importers have had this concern on their horizon for some time now so are likely stockpiled for at least a few months,” he says.

Read more in the Radio Free Europe/Radio Liberty article, “Why China Is Flexing Its Dominance Of Rare Earth Minerals In US Trade War.”