This newspaper reporter.

According to Reuters, several informed sources revealed that the G7 member states and the EU are considering setting a low price limit for rare earth to promote rare earth production, and plans to tax some of China's exports of rare earth products to stimulate investment in related fields.

With the exception of Japan, G7 member states rely heavily or entirely on China in various materials such as rare-earth magnets and battery metals.In order to address the so-called security risks, G7 leaders launched the Key Minerals Action Plan in June this year, and the technical team met in Chicago earlier this month.

One informed source said that the central theme of the Chicago conference was ¡°whether to raise the regulatory threshold for foreign investment in key raw materials to prevent enterprises from flowing to China.¡± Australia also attended the meeting.

The G7 and the EU are allegedly now planning to set a lower price limit for rare earth to boost their production.

"Another option is to impose geographical restrictions, but there are differences within the G7," the person added. It is understood that such restrictions may include localising procurement rules or restricting purchases from specific countries such as China in public procurement tenders.

Reuters also quoted two other sources informed that the G7 also discussed plans to impose tariffs or carbon taxes on China's exports of rare-earth and small-scale metals, which will be calculated based on the proportion of non-renewable energy used in its production.

A U.S. government official also confirmed to Reuters on Thursday that the U.S. is discussing wider trade measures with G7 and EU leaders to prevent rare earth dumping, including tariffs, price limits or other measures.

According to sources, the U.S. has recently introduced a low-price mechanism to encourage domestic rare earth production, while G7 officials are also considering following the U.S. subsidized low-price policy. Canada is positive but has not yet pledged to take such action. Australia has also separately considered setting a low-price to support key mineral projects including rare earth.

However, as far as enterprises in G7 countries are concerned, China's important position in the global rare earth industry chain is difficult for them to give up. According to Bloomberg News, Raheem Suleiman, CEO of Canadian metal supplier NeoPerformanceMaterialsInc., said on the sidelines of a rare earth conference on "how to build a supply chain that does not rely on China" on the 24th that with the advantage of technology and market competitiveness, China should continue to be an important link in the global rare earth supply chain.

Suleiman said: "China will remain the dominant player in this field, and frankly speaking, it should continue to maintain this position."

For decades, China has established a strong dominance in the field of rare earth, according to Bloomberg.The efforts of Western countries to exclude China from the supply chain are facing a real challenge: Chinese rare earth products have more price advantages, and the ability to meet the special needs of customers is also prominent.

previous reports

Foreign media: G7 is planning to set a lower limit on rare earth prices and increase taxes on Chinese exports

China's rare earth, but ineffective, the U.S. West decided to take the hand.

According to Reuters¡¯ exclusive news on September 23, the G7 and the European Union are now planning to set a lower price limit for rare earth to boost their production, while imposing tariffs on some Chinese exports of rare earth and so-called carbon taxes.

The report said that rare earth is crucial for electric vehicles, nuclear submarines and other fields, and China has a leading role in rare earth mining and refining.In April this year, China implemented key mineral export controls, and Western enterprises then shouted "rare earth poverty", and the US West simultaneously sparked the so-called "rare earth weapons".

With the exception of Japan, G7 member states rely heavily or entirely on China in a range of materials ranging from rare-earth magnets to battery metals.To address the so-called ¡°security risks¡±, G7 leaders launched a key mineral action plan in June this year.

Earlier this month, G7 technical teams met in Chicago, USA, and Australia attended the meeting.

A source said that the core discussion at the Chicago meeting was whether to raise the regulatory threshold for foreign investment in critical minerals in an attempt to restrict enterprises' investment in China through this method. But the person added that the G7 has uncertainty about whether to directly confront China.

"Another option is geographical restrictions," the source went on to reveal. These restrictions may include setting local content rules, or limiting rare earth quotas purchased from specific countries (such as China) in public procurement tenders, "but G7 countries also have differences of opinion".

Two other sources said the G7 also discussed tariffs on China¡¯s exports of rare-earth and small-volume metals, or so-called carbon taxes, based on the percentage of non-renewable energy used in its production.

G7 officials arely considering following the U.S. to set a price limit for rare earth. Australia is considering setting a price limit separately to support key mineral projects, including rare earth. Canada is positive about the idea of a price limit, but has not yet pledged to take action.

Another informed EU official told Reuters that the EU is also exploring various ideas such as low-price limits, joint procurement and mutual agreements within the G7 but has not yet made a decision.The report mentioned that the Executive Vice-President of the European Commission and EU Commissioner for Industry Strategy, Stephanie Zurich, said in June that the EU should create a joint reserve of rare-earth and strategic materials similar to oil and gas.

China dominates global market for rare earth magnetsFT Graphic

Rare Earth is known as an ¡°industrial vitamin¡± and is a key raw material support for strategic industries such as advanced weapons equipment, aerospace components, wind power generation, new energy vehicles, robotics and intelligent manufacturing.

According to the International Energy Agency, China accounts for more than 60% of global rare earth mineral output in 2023, but its control over the processing phase accounts for 92% of global output and has almost monopoly control in the global rare earth processing sector.

In April this year, U.S. President Trump highlighted the world's "customs bar", imposed the so-called "reciprocal tariffs", the tariffs on China once amounted to 145%. Then, China immediately introduced a series of measures for precise counter-attack, in addition to the tariffs, the export control of uranium, uranium, uranium, uranium, uranium, uranium, uranium, uranium and other 7 categories of heavy and rare-earth related items.

Recently, China's Ministry of Industry and Information Technology and other three departments recently announced the "Temporary Measures for the Management of Rare-Earth Mining and Rare-Earth Melting Separation Total Volume Regulation", it is clear that rare-earth production enterprises should establish a system for recording the flow of rare-earth products, and record the flow of rare-earth products information, which again arouses foreign media attention.

After China introduced measures to control rare-earth exports, the U.S. West was deeply felt ¡°corted to the neck¡±, and the money was wasted to develop the ¡°non-Chinese¡± supply chain.

Among them, the U.S. government stumbled on heavy money to invest in its own mineral mining, but capital smelled uncertainty and avoided it; the European Union looked forward to the next month, and in September issued a report proposing to go to space mining, it was unrealistic.

¡°Has China won the rare-earth race and can it continue to lead?¡± the Financial Times wrote on August 28 and replied that Western efforts to build a competitive supply chain and break China¡¯s dominance will face challenges in terms of cost and scale.

After the U.S. West has been tormented a round, it has been poor and has recently begun to plan black hands.

On August 25, U.S. President Trump (left second) in the White House in Washington welcomed South Korean President Li in Ming (right second) Xinhua news agency reporter.

On August 25 local time, Trump met with South Korean President Lee Ming at the White House, during which he again threatened with a ¡°tariff bar¡± threatening China would face ¡°200% tariffs, or similar punishment¡± unless China continued to ensure rare-earth magnets arrived in the United States, he claimed that the tariffs were a ¡°incredible card¡± and once hit ¡°will destroy China¡±.

Several analysts that Trump once again threatened tariffs on China's rare earth supply, the actual impact on China may be limited, which in turn highlights the importance of rare earth in the global manufacturing industry, and also indicates that China's dominance in this field is still its strong key in trade negotiations, can be seen as a strategic asset.

The Ministry of Foreign Affairs spokesman has repeatedly stressed that China¡¯s policy on rare earth issues is consistent with international practice.We are willing to continue to strengthen dialogue and cooperation in the field of export control with relevant countries and regions to jointly safeguard the stability and security of the global supply chain.