China Blocking Rare Earths - How will it Impact India
China's decision to block or restrict exports of rare earth elements (REEs) is driven by a mix of geopolitical, economic, and technological motivations. As the world's dominant producer and processor of REEs—controlling over 85% of global refining capacity—China holds substantial leverage over global supply chains, especially in advanced technologies and clean energy.
What Are Rare Earths?
Rare earths are 17 elements used in:
• Clean energy (wind turbines, EV motors)
• Consumer electronics (smartphones, laptops)
• Defense systems (jet engines, missiles)
• Semiconductors & batteries
China’s Dominance:
• Controls 60–70% of global production
• Processes >85% of rare earth ores globally
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