China's rare earth magnet exports to the US surged in June

China’s exports of rare earth magnets to the United States in June increased more than sevenfold compared to May levels. This indicates a sharp recovery in the flow of critical minerals used in electric vehicles and wind turbines after the conclusion of the China-US trade agreement, UNN reports with reference to Reuters.

DetailsOutbound shipments to the United States from the world’s largest producer of rare earth magnets rose to 353 metric tons in June, up 660% from May, according to data from the General Administration of Customs released on Sunday.

This came after agreements were reached in June to address issues related to the supply of rare earth minerals and magnets to the United States. Chipmaker Nvidia (NVDA.O) plans to resume sales of its H20 AI chips to China as part of the deal.

China, which accounts for more than 90% of the world’s supply of rare earth magnets, decided in early April to add several rare earth products to its export restriction list in response to US tariffs.

The subsequent sharp drop in supplies in April and May, due to the long time required to obtain export licenses, disrupted the global supply chain, forcing some automakers outside China to partially halt production due to a shortage of rare earth elements.

Overall, China exported 3,188 tons of permanent rare earth magnets worldwide last month, up 157.5% from 1,238 tons in May, although the June volume was still 38.1% lower than in the corresponding month of 2024.

Magnet shipments are likely to recover further in July, as more exporters received licenses in June, analysts believe.

During the first half of 2025, rare earth magnet exports fell by 18.9% compared to the same period last year to 22,319 tons.

AdditionChina’s Ministry of Industry plans to ban the resale of new cars within six months of registration. This is aimed at addressing the problem of selling used cars with zero mileage.

Chinese rare earth exports in June 2025 reached 7,742.2 tons, up 60.3% from June 2024. The value of exports increased to 170 million yuan, up 30.8% compared to the previous month.ni