China Restricts Key Minerals Critical to U.S. Military Capabilities

China Implements Restrictions on Critical Minerals Vital for U.S. Defense Production By Charlie McCarthy | August 4, 2025, 09:49 AM EDT Recent measures by China have led to the curtailment of essential minerals necessary for manufacturing military equipment and defense systems for the United States and Western nations, according to The Wall Street Journal. Industry insiders report that prices for certain materials have surged to five times or more compared to pre-restriction levels. Earlier this year, Beijing intensified export controls on rare earth elements amidst ongoing trade tensions with the U.S. Despite the Trump administration's June agreement to various trade concessions, China has maintained restrictions on critical defense-related minerals. One U.S. defense contractor, responsible for producing drone components for the Pentagon, has delayed orders by up to two months as it searches for non-Chinese sources of key magnets. China continues to dominate the global supply chain for rare earths, accounting for over 90% of the world's processing and refining activities, as reported by the South China Morning Post in June. These minerals are crucial for advanced U.S. militar...