Rare earth exports from China slumped 23% in July after hitting a record a month earlier, customs data showed on Thursday, although the preliminary data is too incomplete to draw firm conclusions about Beijing's commitment to speed up shipments.
The world's largest producer of rare earths exported 5,994.3 metric tons in July, down 23% from June, when exports hit the highest level since at least 2014, data from the General Administration of Customs showed.
China's rare earth exports are being closely scrutinised after Beijing agreed to a series of deals with the United States and Europe to increase shipments and ease the export licensing system imposed in April in retaliation for U.S. tariffs.
However, it is difficult to draw conclusions from Thursday's data release, which does not distinguish between the different rare earths and related products, some of which are not restricted. The data is also very volatile and double-digit swings in either direction are common.
A fuller breakdown, including exports of rare earth magnets will be released on August 20. Magnet exports to the U.S. and Germany surged last month. They are essential to the automotive, electronics and defence industries.
Even as the United States, Europe and Australia introduce or consider financial support for alternative rare earth producers, China is quietly tightening its control over the sector.
Last month it issued its first 2025 rare earth mining and smelting quotas without the typical public statement.
For the first seven months of the year, China's rare earth exports totaled 38,563.6 tons, up 13% from the corresponding period in 2024.
