In 2019, at the height of the trade war with the United States, Chinese President Xi Jinping visited a rare earth magnet factory in Jiangxi Province. At the time, the visit was interpreted as “muscle flexing” by China’s leader to remind Washington of its dependence on Beijing for the supply of rare earths. Rare earth elements (REEs) – a group of 17 critical metals – are indispensable components in military defense systems, consumer electronics and renewable energy technologies. Despite more than a decade of sustained efforts by Western countries and companies to loosen China’s grip, Beijing, by far remains the top player in the REE global mining, processing and refining sectors. 

On October 27, 2010, after meeting with her Japanese counterpart, US Secretary of State Hillary Clinton expressed concerns over allegations of a Chinese ban on exports of Rare Earth Elements to Japan. “This served as a wakeup call,” she announced while advocating for “additional sources of supply.” Beijing’s alleged ban came after skirmishes in the disputed Senkaku Island waters. But apart from Japan, not many countries acted on the wake-up call.