Tuesday, October 28, 2025

China Defends Rare Earth Controls, Calls for U.S. Dialogue

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Rare earth controls remain at the center of China-U.S. trade discussions as Beijing defends its measures and urges dialogue. China’s commerce ministry emphasized that the controls are legal, targeted, and aimed at maintaining global industrial and supply chain stability. Officials also called on the United States to manage differences respectfully and consultatively.

The ministry spokesperson noted that China, as a responsible major country, enforces export regulations according to the law. These measures support non-proliferation, regional security, and international obligations. Moreover, China carefully assessed the potential impact on industries before implementation, and found the effects on supply chains to be very limited.

China clarified that its export controls are not outright bans. Businesses applying for civil use exports can receive approval. The government also plans to review applications regularly, grant licenses to qualified applicants, and consider facilitation measures like general licenses and exemptions to promote legitimate trade.

The U.S. recently announced a 100 percent tariff on Chinese products and new export restrictions on critical software. In response, China emphasized that it implements export controls prudently, while U.S. measures reflect a long-standing double standard. For example, the U.S. Commerce Control List covers over 3,000 items, compared with China’s 900-item Export Control List of Dual-use Items. Experts note that U.S. practices, including the “de minimis” rule, have disrupted global trade and harmed Chinese companies.

Since the September economic and trade talks in Madrid, the United States has imposed multiple new restrictions on Chinese firms, including Entity List and Special Designated National List designations. China views these actions as damaging to bilateral negotiations and global supply chain stability.

The ministry spokesperson stressed that China remains open to dialogue. The government urges the U.S. to adhere to previous agreements, respect consultations between heads of state, and manage disputes through equal-footed negotiation. At the same time, China warned that it will take resolute measures to protect its legitimate interests if the U.S. persists in unilateral practices.

China also addressed recent U.S. port fees on Chinese vessels. Officials called the fees a violation of World Trade Organization rules and the bilateral Maritime Transport Agreement. China continues to engage with the U.S., providing responses and recommendations for bilateral cooperation in shipping and related industries.

Through these actions, China signals that rare earth controls aim to safeguard industrial security, protect companies’ rights, and ensure the stability of global supply chains. Analysts suggest that ongoing dialogue will be crucial to maintaining a balanced, fair, and sustainable China-U.S. economic relationship.

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