- China’s rare-earth export controls are not bans but national security measures.
- Export licenses will be issued to eligible civilian trade under China’s new rules.
- China responds to Trump’s tariff proposal, calling it a “double standard.”
- China plans reciprocal port fees in response to U.S. port fee plans.
China has clarified that its new rare-earth export controls are not bans, but rather security measures aimed at protecting national interests. In response to former U.S. President Donald Trump’s criticism, China’s Ministry of Commerce (MOFCOM) emphasized that the restrictions are lawful steps in line with its export control system. The statement came after concerns over the impact these measures may have on the global supply chain and trade relations.
China’s Response to Rare-Earth Export Measures
On October 9, China’s Ministry of Commerce, in coordination with the General Administration of Customs, introduced new export controls on rare-earth materials. The measures have raised concerns internationally, especially from the U.S. government. However, MOFCOM clarified that these controls are not bans.
A ministry spokesperson confirmed that export licenses would be issued to eligible businesses, allowing for the continued trade of rare-earth materials used in civilian applications.
China, which is the world’s largest producer of rare-earth materials, stated that the new rules are designed to ensure national security. The ministry’s spokesperson added that the impact on the global supply chain would be minimal, as the controls would not affect compliant civilian exports. Beijing indicated that it would consider additional facilitation measures, such as general licenses, to ensure that legitimate trade is not disrupted.
China’s Trade Position and U.S. Criticism
In its statement, MOFCOM also addressed the U.S. government’s stance on the issue. China criticized former President Trump’s proposed tariff increase on Chinese goods, describing it as a “double standard.” The ministry urged that both countries should return to consultation channels to manage trade differences in a more diplomatic manner.
“The recent U.S. move is inconsistent with fair trade practices,” a MOFCOM spokesperson said. The criticism is part of an ongoing tension between the two largest global economies regarding trade policies, especially over sensitive sectors like rare-earth materials, technology, and manufacturing.
U.S. Port Fees and Countermeasures
In addition to addressing the rare-earth export controls, China’s Ministry of Commerce also responded to the U.S. plan to implement new port fees on Chinese-linked vessels. The fees, which are set to be imposed in the coming weeks, have drawn strong opposition from Beijing.
MOFCOM described the U.S. port fees as “unilateral” and in violation of World Trade Organization (WTO) rules. In response, China announced that it would impose reciprocal special port fees on U.S.-linked vessels. This countermeasure aims to protect Chinese interests and to maintain a balance in the trade relationship between the two countries.
China’s decision to take action against the port fees adds another layer to the already complex trade relationship with the U.S. The move is seen as a defensive measure to limit the economic impact of U.S. policies on Chinese businesses.
Looking Ahead: Ongoing Trade Tensions
As the situation evolves, it remains clear that trade tensions between the U.S. and China continue to shape the global economy. Both nations have deep economic ties, but their disputes over rare-earth materials, tariffs, and port fees show no sign of easing.
The rare-earth export controls are a reminder of China’s dominant position in the global supply chain, while also signaling its willingness to protect its national interests.
The U.S. will likely continue to challenge China’s trade practices, while Beijing will defend its actions and policies. The next steps in these trade discussions may determine the future of bilateral relations and global trade dynamics.
