Gordon Chang, a China expert and author, on Newsmax Wednesday, said the United States' dependence on China for rare earth minerals is a growing vulnerability, exacerbated by recent Chinese export restrictions.
China's recent export ban on key minerals, including gallium, germanium, antimony, and "superhard materials," has spotlighted the United States' reliance on Chinese resources for essential manufacturing. This move, announced Tuesday by China's Commerce Ministry, is widely seen as retaliation for U.S. restrictions on China's chip-making industry, Newsweek reported.
"These are important," Chang said Wednesday on "Greg Kelly Reports." "China mines somewhere between 85 to 90% of the world's so-called rare earths. But it not only mines them; it also processes them.
"Now, we have these minerals in North America, specifically in Canada and the U.S., but we don't mine anything. We have not issued a mining permit in about 10 years, and we certainly don't allow the processing of these minerals."
Chang highlighted the strategic implications of U.S. policies that have halted domestic mining efforts. "Our own decisions have made us reliant on a China that considers us an enemy," he said. "As we sit on the eve of war, this has become a critical vulnerability."
The Chinese ban specifically targets American parties and includes further restrictions on graphite sales, underscoring the escalating tensions between the two nations. "This is just part of a series of further restrictions on minerals sold to the U.S., and we can expect this to continue," Chang noted.
He compared the current situation to China's rare earth export ban on Japan in 2010, which collapsed due to workarounds by the Japanese. However, Chang warned that the U.S. is in a more precarious position. "We are much more vulnerable than the Japanese were 14 years ago," he said.
The timing of the restrictions has raised questions about whether they are a response to U.S. policies under the Biden administration or a preemptive measure against potential future actions under a Trump presidency.
"These restrictions came into place one day after the U.S. Commerce Department imposed sweeping restrictions on Chinese chip companies," Chang explained. "Most people think this was a response to Biden. But I think this is also in anticipation of Trump's tariffs that he will impose on China for fentanyl and perhaps for other things as well."
With China controlling most of global rare earth mining and processing, the U.S. must address its domestic capabilities. "We need to get these minerals fast, and we need to be able to process them quickly," Chang said.
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