What is China doing with rare earths?

China has been using its dominant position in rare earth mining and processing as a strategic tool in trade and geopolitical negotiations. The country has imposed export controls and quotas on rare earth materials in recent years, restricting supply to key markets including the United States, Japan and Europe. At the same time, China is investing in downstream rare earth processing and manufacturing to capture more value from its mineral resources, particularly for permanent magnets used in electric vehicles and wind turbines.

Does China have 90% of rare earth reserves?

China does not hold 90% of global rare earth reserves, but it accounts for roughly 60-70% of global rare earth mining output and an even higher share of processing capacity. Many other countries including Brazil, Australia, the United States, Russia and Vietnam have significant rare earth deposits. China's dominance comes more from its decades of investment in processing infrastructure than from exclusive control of the geology.

Does the US have more rare earth minerals than China?

The United States has significant rare earth mineral deposits, particularly in California (Mountain Pass), Wyoming and other western states. However, the US dismantled much of its rare earth processing capacity during the 1990s as Chinese production undercut domestic operations on cost. The USGS estimates that US rare earth reserves are substantial, but converting those reserves into processed materials requires rebuilding processing infrastructure that currently barely exists outside of China.

Who owns the most rare earth minerals in the world?

By reserve estimates, China, Brazil and Russia hold three of the largest rare earth deposits in the world. Vietnam, India, Australia and the United States also have significant deposits. However, ownership of reserves and control of the supply chain are very different things. China's state-controlled rare earth companies dominate processing and refining globally, meaning that even ore mined outside China often passes through Chinese processing before it reaches manufacturers.

What other minerals does China produce beyond rare earths?

China is the world's largest producer of coal, which remains central to its energy system. The country is also among the top producers of gold, zinc, tin, molybdenum, tungsten and graphite. China is a major copper smelter and refiner, processing copper concentrate from mines in Chile, Peru and elsewhere. Its dominance in mineral processing, not just mining, makes China the central node in global metal supply chains across a wide range of commodities.