Problematic Rare Earths
“China Rare Earth Ban Disrupts Automotive Production,” Automotive Manufacturing Solutions
Since early April, Chinese customs officials have blocked shipments of rare earth magnets at numerous ports. This halt comes as Beijing drafts a new regulatory framework for export licensing, a move interpreted as retaliation for the US government’s latest round of tariffs.
The materials in question are indispensable for the manufacture of high-performance electric motors used in electric vehicles (EVs), and robotics; vital to vehicle production. Even conventional combustion-engine vehicles rely on electric motors with rare earth magnets for vital functions such as steering.
“GM’s received an advantage in a worrisome rare earth minerals trade war,” Detroit Free Press
On June 11, according to published reports, there was discussion on rare earth minerals; the details of any agreement were not released. But media reports said it essentially involves China relaxing its export restrictions on rare earth minerals and in return, U.S. officials would roll back limits on exports of U.S. products and technology as well as proposed visa restrictions.
Industry observers say it’s critical for the Detroit automakers a deal is reached.
“The view on Donald Trump’s China deal: rare earths pave the green road to militarization,” Editorial, The Guardian
Washington will scale back some of its countermeasures once Beijing resumes delivery of rare earths. The paradox is . . . to reduce its dependence on China? The US must depend on Beijing a little longer. This is not yet decoupling; it’s deferment. That, however, may not last. Tr__p has signed an executive order to boost production of critical minerals. This encourages the faster granting of permits for mining and processing projects. He eyes Ukraine and Greenland’s subterranean riches to break dependence on China.
Now, we are understanding why the T__mp administration is eyeballing Greenland. Ukraine will not roll easily for Tr__p. Aqquiring Greenland will not happen unless Europe concedes. China is more than likely laughing at Tr__p. There is an abundance of rare earths. However, it is the processing of rare earths which can be problematic.
And as usual, the United States is late to the game and playing catchup.
i suspect that rare earth materials are in every aircraft in the US (and the world). and lots of our military equipment too. and while there is more than a little of deposits in the US, its the refining of the materials thats the hold up. i seem to recall that EA only apply to Federal agencies. not to private businesses. so it might help (since the DOD will make it a requirement that any rare earth materials be in the US). course cant forget the permanent magnets that used to be processed in the US but the company that had that contract sold it to a foreign country back in the 90s.
David:
Thanks for the input. Mostly, this appears to be an instance of the US being able to acquire the “refined” rare earths from outside of the US. And now and with a hostile Tr__p (towards China), we now have a potential problem. U.S. has to development the ability to refine the rare earths. Some companies are doing so. And probably not enough of them.
I read this a while back. Being lazy now. If you can add to this, by all means do so.
Bill