China last year imposed similar controls on materials like graphite, germanium and gallium, all of which are also used in tech, defense and green industries. Šefčovič complained that for those materials “only half of the applications” were properly processed by Beijing.
Beijing announced sweeping new export controls on rare-earth magnets and their raw materials last week on grounds of national security. The move requires magnet-makers to get approval from China if they use even trace amounts of Chinese rare earths. Beijing produces 90 percent of the world’s rare-earth magnets, which are used in electromotors, generators for wind turbines and defense applications.
This drew the ire of U.S. President Donald Trump who threatened to respond with fresh tariffs and hinted he would no longer meet with his Chinese counterpart Xi Jinping at the end of October.
Although Washington is moving to deescalate the clash, Šefčovič didn’t completely shut the door to a similar response, telling reporters that he wanted to gather a first assessment from EU ministers.
“For us, what is important is to protect the European general interest and to find a solution which would not be harmful to the European industry. So first we consult and assess the situation,” he added.
The EU trade chief also said that he would request a videoconference with his Chinese counterpart “most probably in the next week.”