We all know that the Sino-U.S. Malaysia consultation has just ended, and U.S. Finance Secretary Bessent mentioned in an interview that the United States would give up 100% tariffs on China, while China will also postpone the implementation of rare-earth export restrictions for a year.

It is worth noting that from the first to the fifth round, at least two words in the mouth of each U.S. negotiating representative can be seen how tough this neck card is.

Although we have heard the news from the US that China will postpone the export restrictions on rare earths, the Trump administration has not stopped trying to de-Chinaize rare earths as much as possible.

For example, Trump, who visited Japan on October 28th, signed the declaration of "New Golden Age" with sanae takaichi, as well as a framework agreement on cooperation between the United States and Japan to establish reserves and supply chains for rare earths and other key minerals.

In fact, as early as October 20, the U.S. signed a rare-earth cooperation agreement with Australia, and Pakistan signed a $500 million cooperation agreement with U.S. Strategic Metals to build a complete value chain of rare-earth from exploration, mining to refining.

It is reported that the United States and Japan will jointly promote vertical integration from Saskatchewan Mineral Source, Saskatoon Separation Plant to Ohio Magnet Plant, and jointly build a gallium refinery with an annual output of 100 tons in Western Australia.

In addition, Japan's Ministry of Economy, Trade and Industry will also promote the licensing transfer of Japan's rare earth separation and magnet manufacturing technology to the REAlloys North American factory.

In short, the United States, Japan, Australia and some other countries are preparing to build a closed loop of "resources-technology-market". Some countries such as Australia provide mineral deposits, Japan provides technology, and the United States provides a guaranteed price twice higher than China's export price.

It can be said that the idea of the Trump administration once caught up in the U.S., but there are some companies who realize that the challenges they face are far more severe than they think.

Novion Magnetic Industry said, ¡°After China announced the implementation of rare earth export controls earlier this year, he received a large number of consultation calls, customers not only demanded to advance as planned, but also hope to increase the original output several times.¡±

"Buy in large quantities" is a temptation for any enterprise, but the company is well aware of the reality, that is, "the demand standards of some customers can only be achieved by decades of industrial accumulation in China."

It means that customers can¡¯t make large orders, and the company has also said, ¡°For emerging participants in the rare-earth industry outside of China, it is a huge pressure to prove their own supply capabilities in all aspects of the supply chain.¡±

In addition, a Wall Street Journal report on October 28 also mentioned this topic. The report stated that "China's deterrent measures have indeed promoted the recovery of the Western rare earth industry to a certain extent, but regardless of the reconstruction of the Western rare earth supply chain. It takes time, not to mention the industry has experienced many" false booms "before.

That is to say, there are gaps in rare earth industries, experience and expertise outside of China. In fact, the above-mentioned reports are indeed objective, because while MP Materials in the U.S. says that light rare earth commercialization can be realized, heavy rare earth refining is almost empty.

Japan has a little technology, but lacks raw materials and actual production capacity, because 92% of the world's high-purity refining capacity of heavy rare earths is in China.

Therefore, although the Trump administration is trying its best to de-Chinaize the rare earth issue, if they really lean down and look at the reality, they will find that the ultimate industrial civilization cannot be realized quickly, and the sovereignty of core technologies cannot rely on outsourcing.