China has intensified pressure on the United States by imposing more rigorous restrictions on rare metal exports, a movement that is causing serious concerns in the US industrial sector.
During participation in WWRoberto Dumas, Chinese economy professor at Insper, says the Chinese “stirred the US body vitamin,” referring to the strategic importance of these materials for the American economy.
According to him, although the volume of exports of these minerals is not significant in terms of value (about $ 170 million), the impact is significant in various segments of the US economy.
Impact on Industry and Defense
Fears focus on the possible shortage of rare metals essential for the production of cell phones, cars, fighters and a variety of electronic articles.
The Center for International Strategic Studies warns that US companies have only about two months of supplies of these minerals in stock.
The situation is particularly critical to the automotive sector, with some automakers already paralyzing their production lines. In addition, these metals are crucial to the defense industry, being used in ballistic missile orientation systems, fighters and artillery lasers.
Chinese domain and American reaction
China has a significant domain in the industry, one of the few countries with the capacity to extraction and refining these minerals. In April, the Asian country imposed more rigid conditions for exports ,.
In response to Chinese measures, the United States blocked sales of products related to nuclear energy production, semiconductors and airplanes to China. This climbing in commercial tensions between the two economic powers reflects a scenario of growing geopolitical and technological competition.
The dispute over rare metals highlights the complexity of Sino-American trade relations and the strategic importance of these resources to both economies. The unfolding of this situation may have significant implications for global supply chains and the balance of power on the international scenario.
