The wind went faster than expected.
Just the day after the 31 countries of the West plotted to encircle China's rare land in Chicago, the Chinese Ministry of Commerce issued three consecutive announcements, precisely counteracting, and directly hitting U.S. military-industrial core enterprises.
Rare earth, this seemingly inconspicuous "soil", has now become a key bargaining chip in the global game. Whoever can master it can control the future technology and military power.
31 countries have just "declared war", and the Chinese side has rejected the sword, this resource war without smoke, who can laugh to the end?
Jointly set up a game
Western countries really can't sit still this time. In late September, the Group of 31 countries led by the G7 and the European Union quietly held a closed-door meeting in Chicago. There was only one main course-how to get China off the "throne" of rare earths.
Their calculation is not complicated: setting price limits, increasing tariffs, and pushing carbon taxes, a three-pronged approach in an attempt to weaken the global competitiveness of China's rare earths. It sounds like economic regulation, but behind the scenes it is a real "containment plan".
The context of this conference is not difficult to understand, and now, from F-35 fighter jets to Tesla electric vehicles, from wind turbines to Apple phones, almost all high-end technology products are rare.
More than 85% of the world's rare earth refining capacity is firmly controlled by China. In other words, the West's high-tech dreams must be realized through the "mud" of China.
The EU’s performance was most embarrassing while shouting at the conference “reducing dependence on China”, while increasing imports in reality. In August this year, the ratio of exports of rare earth magnets to Europe rose by around 21%.
The mouth says “to be independent”, but the body is honest.The data show that in the third quarter last year, the EU imported more than 2,500 tons of rare earth from China, which is three times more than the United States.
And the most positive from beginning to end is the United States. This country, which used to be the number one figure in the field of rare earths, has now become a "king of mouth that just talks but doesn't practice."
The U.S. government has stolen more than $400 million to support the domestic rare earth industry, and the result is that the industrial chain is still stuck in the laboratory stage, and even mining equipment must rely on Chinese technology.
This is not a simple economic issue, but a big game related to the restructuring of the global industrial chain. Western countries have finally realized that the small chain of rare earths is China's hardest trump card in the global game.
Precise attack
Faced with the unified blockade of 31 countries, China hasn’t said much, but it’s moving faster than anyone else.
On September 25, the Chinese Ministry of Commerce issued three sanctions orders, directing the US military industry to heavy ground.Three US companies were included in the list of unreliable entities, and three others were included in the export control list, combined kicked down and the rhythm was full.
Among the companies named, the most remarkable is Huntington Ingels Industrial Company.
The company is not an ordinary equipment supplier, but the only U.S. military industry giant that can build a nuclear-powered aircraft carrier.Once the supply chain is cut, the U.S. military's future ship renewal plans will have to press the suspension key.
There is also Saronic Technology Company, which masters the key technologies of the US military's unmanned combat systems and deep-sea equipment. What these companies have in common is that they are all inseparable from China's rare earths and their derivative materials.
From special steels to precision electronic components, from processing equipment to supply chain partners, every link has China elements.
China’s sanctions are not a hammer, but a systematic strike on the Chinese market, not only banning these companies from exporting civilian and military goods, but also restricting their investment and cooperation in the Chinese market through a list of unreliable entities.
More importantly, this crackdown does not violate international trade rules. China has not completely blocked rare earth exports, but has imposed targeted restrictions on specific enterprises.
This "acupuncture" operation is more lethal than a comprehensive ban because it accurately hits the opponent's most fragile nerves.
For the United States, it was just like a breathing machine was removed at a critical moment.In the face of the Chinese side, the Pentagon urgently convened a meeting, the White House's top consultations were overnight, but unfortunately there was no viable alternative in the short term.
The power card.
This rare-earth dispute, the dispute is never the resources, but the industrial system and strategic dominance behind it.
China’s real advantage lies not in how many rare earths are buried underground, but in the complete industrial chain that has been grinded for decades.From mining to high-purity refining, from magnetic manufacturing to end-usage, China has almost control of the entire roadmap “from mud to chip”.
Western countries do not think of "de-Chinese", but the reality is far more complicated than imagined. for example, although there are rare earth mines in the United States, but the refining technology is behind, the cost is high, and environmental protection standards are limited.
Even if they are mined, they must be sent to China to be processed and finally sent back to the United States.
Some people say that technological breakthroughs can be used to jump the rare earth bottleneck. For example, some companies claim to have developed a new type of magnet, which is 18% stronger than rare earth magnets.
It sounds shocking, but industry experts directly poured cold water on it: this kind of magnet can be used on headphones and mobile phones at most, and cannot support heavy applications such as missiles and electric vehicles at all.
The situation in the EU is not good, the green transition is loud, the carbon neutrality goal is high, can leave China's rare earth, lithium and graphite, even batteries can not be made.
Data from the European Steel Industry Federation is also eye-catching: in 2024, the EU imports a quarter of total steel sales, a large part of which comes from China.
Reality just slaps in the face. To overthrow China's rare earth hegemony, we must first have an equal industrial system, rather than castles in the air piled up by meetings and tariffs.
Today's China is no longer the "world factory" that only produces, but the creator of global industrial rules.
The report on China-U.S. science and technology disconnection in 2025 has made it clear that China, in the field of key resources and basic materials, has gone from “following others” to “setting rules for others”.
The 31 countries were "hunting" China's rare earths, shouting loudly and making a lot of noise, but they did not expect China to respond so quickly and accurately, and hit the key with one move. The military's military lifeline has been accurately locked, and Europe's green dream has to be re-evaluated.
This is not a simple resource dispute, but a deep game of the global industrial pattern.When the West is still repeatedly considering rare-earth pricing in the conference room, China has already rewritten the rules of the game with a paper announcement.
Holding rare earths in hand not only masters key materials, but also masters the passport of future science and technology. This contest has just begun, but the rhythm and initiative have quietly shifted.
The answer to who can truly lead this global resource war may have been written in the first round of this "silent battle".
Source of information:
The “New Order” of U.S. Tariffs 2025-09-28 17:37 Source: International Online
2. "Why did China include three U.S. companies in the list of unreliable entities? Response from the Ministry of Commerce "2025-09-25 16:50| Source: CCTV. com
3. "A U.S. agency plans to purchase scandium oxide from Rio Tinto Group to supplement national defense reserves" 2025-09-22 19:46 | Source: Sina Finance
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