China said Friday it will cooperate further with other countries on its rare earth export controls amid shortages threatening auto and semiconductor production in Europe and India.
The country, which controls over 90% of global processing capacity for rare earth magnets used in industries ranging from automobiles to fighter jets, imposed export restrictions in early April requiring exporters to obtain licenses from Beijing.
While some licenses have been granted, including to certain Volkswagen suppliers, Indian automakers report receiving none and warn they may have to halt production in early June. Chinese state media reported this week that China could ease export curbs for Chinese and European semiconductor companies after industry meetings with the Ministry of Commerce raised concerns about supply shortages.
Foreign ministry spokesperson Lin Jian said China is “ready to strengthen dialogue and cooperation in the field of export control with relevant countries and regions” and remains committed to maintaining stable global production and supply chains.
Earlier reports indicated that the United States has suspended some sales of critical technologies to China, including parts for state-owned plane maker COMAC, in response to China’s export restrictions on critical minerals.
