German Media: China Uses Rare Earths to 'Choke' Japan Again After 10 Years

According to Chinese customs data, exports of rare earth minerals such as dysprosium and the specialty metal gallium from China to Japan have been largely stagnant since last December. Deutsche Welle reported that this is the first time in 10 years that Beijing has used rare earths to 'choke' Japan, though this has prompted Japan to build up reserves. Japan is the largest producer of rare earth magnets outside of China but remains highly dependent on China for heavy rare earths used in magnets, aerospace, and defense. Sources reveal that Shin-Etsu Chemical has stopped accepting new orders for dysprosium-containing magnets. The report suggests this disruption stems from comments made by Sanae Takaichi regarding 'contingencies in Taiwan.' While the Japanese government is taking measures such as releasing stockpiles and diversifying suppliers, analysts say it will likely take several years to fully replace Chinese heavy rare earth supplies.