Some rare earth export license applications approved

China has approved a certain number of export license applications for rare earth-related items, and will continue to strengthen the review of compliant applications, the Ministry of Commerce said on Thursday.

"As a responsible major country, China has fully considered the reasonable demands and concerns of various nations in the private sector when reviewing applications for rare earth-related export permits," said He Yadong, a spokesman for the ministry, at a news conference.

Beijing and Washington have mapped out a framework to implement their previously agreed trade truce after concluding two days of talks in London late on Tuesday.

Though top negotiators from both countries didn't disclose any specifics of the deal, whether Washington would release its ever-tightening high-tech export restrictions against Beijing in exchange for China easing its export controls over rare earth products was widely thought to be a focus of that meeting.

Data from the International Energy Agency showed that China accounted for over 61 percent of global rare earth mineral production and controlled 92 percent of global rare earth processing capacity in 2023.

The US Geological Survey reported that between 2020 and 2023, China supplied 70 percent of all rare earth compounds and metals imported into the United States.

US President Donald Trump said on Wednesday on Truth Social that the US deal with China is "done", with Beijing to supply magnets and "any necessary rare earths" while the US will allow Chinese students in its colleges and universities.

Without directly verifying Trump's post on the social media platform, Ministry Spokesperson He said that "China urges the US to follow the rules of the World Trade Organization and work together with China to promote the stable and sustainable growth of China-US economic and trade relations, based on the principles of mutual respect, peaceful coexistence, and win-win cooperation."

Going forward, He said that the two sides will further leverage the China-US economic and trade consultation mechanism and continue to maintain communication and dialogue, to continuously build consensus, reduce misunderstandings and enhance cooperation.

In particular, He noted that imposing export controls on such items is in line with international practice as rare earth-related items have dual-use attributes for both military and civilian purposes.

"China stands ready to enhance communication and dialogue on export controls with relevant countries to facilitate compliant trade," He said.

The European Union Chamber of Commerce in China said on June 6 that there "has been an increase in the number of export approvals that European companies have obtained."

As the world's largest producer and exporter of rare earths, China has been seeking a balance between its own national security and industrial development, and maintaining the stability of global supply chains, said Zhou Mi, a researcher at the Chinese Academy of International Trade and Economic Cooperation.

"China's goal is not to prohibit exports, but to standardize exports. The aim is to facilitate compliant trade, not to cut off normal business activities," Zhou added.