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China Poised to Lift Export Restrictions to India

by August 20, 2025
August 20, 2025

Via Wikipedia Commons

In New Delhi, Indian External Affairs Minister S. Jaishankar met with Chinese Foreign Minister Wang Yi to discuss bilateral issues.

Reports from authoritative sources indicate that China has committed to easing export restrictions on rare earth minerals, fertilizers, and tunnel boring machines to India. Neither government has officially confirmed these developments.

Chinese Foreign Ministry Spokesperson Mao Ning addressed media inquiries about the reported easing of restrictions on rare earth exports. She stated that she was unaware of the specific reports mentioned by journalists.

Ning emphasized China’s willingness to enhance dialogue and cooperation with relevant nations to stabilize global supply chains.

Sources familiar with the discussions revealed that Wang Yi provided assurances during his two-day visit.

He reportedly promised to address India’s requirements for these critical items. This move follows ongoing efforts to improve India-China relations amid border talks.

China implemented export controls on several rare earth elements in 2024 and 2025, partly in response to international trade tensions including U.S. tariffs.

These restrictions initially halted shipments to various countries, with a partial lift in June 2025 that did not extend to India.

The controls affected materials like gallium and germanium, impacting global technology and energy sectors.

Rare earth minerals hold significant value for India’s economy due to their role in manufacturing electric vehicles, battery storage systems, and drones.

China controls approximately 70 percent of global rare earth mining and processing, making it a dominant player in the supply chain. Access to these minerals supports India’s push for technological advancement.

India has pursued partnerships with alternative suppliers to reduce dependency on any single source. The Ministry of Mines has signed agreements with countries including Argentina, Australia, Côte d’Ivoire, Malawi, Mozambique, Peru, Zambia, and Zimbabwe.

India possesses the world’s fifth-largest rare earth reserves, positioning it to develop domestic production.

Initiatives like the 2024 Critical Minerals Mission aim to establish overseas mining projects focused on lithium and other essentials.

These steps align with broader strategies to secure supplies for renewable energy and defense applications.

Global demand for rare earths has surged with the transition to clean energy technologies. Countries worldwide, including the United States, are diversifying sources amid export uncertainties.

The post China Poised to Lift Export Restrictions to India appeared first on The Gateway Pundit.

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