Chinese Ministry of Commerce, October 9 Decision to Implement Export Controls on Rare-Earth-Related Technologies¡£

As an absolute leader in the global area of rare earth, China¡¯s move has been interpreted by the outside world as a precise counterattack to the Sino-U.S. game, but also makes Pakistan¡¯s role among the Sino-U.S. more subtle.

The importance of rare earth as a key resource for the high-tech industry is obvious.

The United States has a huge demand for rare earths in new energy, military equipment and other fields, but its supply chain relies heavily on China.

According to statistics, from 2000 to 2023, 70% of the United States 'rare earth imports came from China. This "stuck neck" situation forced the U.S. government to find other supply channels.

It is worth mentioning that although Pakistan has a certain reserve of rare earth resources, its rare earth industry has not yet formed due to a lack of mining technology and equipment.

It is easy to see that Pakistan has had frequent contacts with the U.S. in recent months, hoping to use U.S. technology and funds to develop its own rare earth resources.

According to the latest announcement of China's Ministry of Commerce, China will impose strict restrictions on the export of rare earth mining, smelting and separation technology and related equipment, and no Chinese enterprise or individual is allowed to provide technical support overseas.

After all, we do not care who does business with other countries, but the United States did not want to expect to rely on Pakistan and China's relations, and obtained the support of rare-earth technologies from us, and so on.

It is worth mentioning that although the United States has rare earth resources, its rare earth development capabilities have long been limited due to the lack of a complete industrial chain.

In recent years, the United States has tried to establish diversified supply chains by cooperating with countries such as Australia and Canada, but progress has been slow.

The meaning of this sentence is also easy to understand. Technology research and development requires time and a lot of money. It is better for American companies to send people to dig ore and process them directly to buy ready-made ones that are cheap and efficient.

Therefore, China's new export control policy has once again frustrated the United States 'strategy of "de-China" rare earth.

For Pakistan, this situation is equally embarrassing.

As China¡¯s all-weather strategic partner, Pakistan plays an important role in the Belt and Road initiative.

This is actually easy to understand. After all, Pakistan's economy is indeed not high. With the reputation gained by the India-Pakistan air war, it is natural to hope to take the opportunity to obtain more economic income.

However, China's sudden announcement of export control decision has forced Pakistan to reassess its diplomatic strategy: continued cooperation with the United States may touch China's interests, and without China's technical support, its rare earth development plan will be difficult to advance.

At present, China controls about 70% to 80% of the world¡¯s rare earth supply chains, and the technological and industrial advantages of the chain are irreplaceable.

Although Australia and Canada are increasing their efforts in rare earth development, it is difficult to shake China's dominant position in the short term. At the same time, the research and development of rare earth alternative materials is still in its infancy, and there is still a long way to go before large-scale application.

In the future, can the United States find a breakthrough? How will Pakistan balance the relationship between China and the United States? The answers to these questions deserve our continued attention.