China sharply curtailed exports of two key critical minerals in June, with outbound shipments of antimony falling by 88% and germanium by 95% compared to January levels, Asia Financial reported on Monday, noting that the drop reflects Beijing’s intensifying crackdown on transshipment and unauthorized export activity after discovering that material was being routed through third countries such as Thailand and Mexico.
The measures come amid escalating geopolitical competition over supply chains for strategic metals used in semiconductors, batteries, and military systems.
The sharp cut in exports follows stepped-up enforcement by China’s customs and national security authorities, with new controls aimed at tightening licensing loopholes. Antimony shipments in June totaled just 65 metric tons, while germanium fell to 3.1 tons, according to customs data cited by Reuters.
At the same time, rare earth magnet exports to the U.S. surged. After months of delays, China exported 353 tons to the United States in June–a 660% increase from May–as backlogged licenses were cleared. Total rare earth magnet exports rose 157.5% month-on-month to 3,188 tons, though they remain 38% below June 2024 levels. For the first half of 2025, exports stood at 22,319 tons, down 18.9% year-on-year.
Beijing’s strategy appears to be twofold: maintain leverage by restricting chokepoint materials like antimony and germanium, while easing rare earth exports to reduce geopolitical friction. The export collapse follows reports that banned materials were being funneled through Southeast Asia and Mexico, prompting China to tighten enforcement.
Prices have surged in response. Antimony has nearly quadrupled since May 2024, while germanium has more than doubled, according to Reuters data. The rare earth rebound, however, may offer temporary relief to manufacturers in sectors ranging from EVs to aerospace.
By Charles Kennedy for Oilprice.com
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