China's rare-earth metal exports spike to highest level since 2009

By Bloomberg News

 

China’s exports of rare earths in June climbed to their highest since 2009, according to official data, indicating a push by global buyers to get hold of the materials used to make powerful magnets. 

The rare-earths sector has been in turmoil since early April, when dominant supplier China launched export controls amid a deepening trade stand-off with the US. That’s weighed most heavily on supplies of so-called permanent magnets, which are not covered by the customs data figures released on Monday.

 

 

Exports of rare earths, in mineral or metal form, climbed to 7,742 tons, up 60% from a year earlier. That could include some material to be used by the few magnet manufacturers outside China, who are seeing a wave of demand as the global auto industry grapples with a shortage.

 

China’s export controls cover seven of the 17 rare earths in their basic commodity form, but also stretch to magnets containing even tiny amounts of the controlled materials. China makes about 90% of the world’s rare-earth permanent magnets, with firms in Japan and Germany making up most of the remainder.

 

Data on China’s June exports of all rare-earth products is due with the next batch of trade figures on Friday, while a breakdown including magnets should be available on Sunday.