China’s Ministry of Commerce announced a temporary two-month extension delaying the implementation of sweeping new rare earth and strategic material export controls to January 10.
Broader Trade Truce:
The pause preserves crucial export-control waivers and runs parallel to broader suspensions—including ongoing holds on certain U.S. tariffs and port fees—as both economic superpowers negotiate a more durable trade agreement.
Relief for Global Manufacturers:
The delay offers a temporary sigh of relief for international tech, automotive, and defense supply chains heavily reliant on Chinese-processed critical minerals, preventing an immediate escalation in supply restrictions.
High-Stakes Diplomacy:
China introduced export controls on certain rare earths in April 2025, only to expand them further in October of that year, dramatically widening their scope and also adding new controls on certain diamonds with industrial applications and lithium battery technology.
The measures were then paused for one-year last November after a summit in South Korea between Xi and Trump.
The Ministry of Commerce said in a short statement on Monday that the pause would be extended for two months until January 10, while it gave no other details.
The extension is part of a broader suspension of trade countermeasures and tariffs announced by China on Monday as it negotiates with Washington over an enduring trade deal.
Trump is set to travel to Shenzhen in southern China later this month for an APEC leaders’ summit, where he is expected to meet with Xi.
The move comes ahead of planned high-level international summits, keeping critical mineral leverage on the table as Washington and Beijing attempt to iron out long-term regulatory differences.
