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Tesla's Optimus humanoid robots hit by China's rare earth restrictions, says Musk
TSLATesla(TSLA) CNBC·2025-04-23 06:10

Group 1 - Tesla's production of the Optimus humanoid robot is impacted by China's new trade restrictions on rare earth magnets, which are essential for the robot's manufacturing [1][2] - Elon Musk stated that Tesla is in discussions with Beijing to secure approval for accessing these critical resources [2][3] - The new export controls from China require licenses for exporters of medium and heavy rare earths, raising concerns about potential global shortages [3][4] Group 2 - China has imposed export controls on seven rare earth elements and magnets, which are crucial for various industries including defense, energy, and automotive technologies [2][4] - The U.S. is currently unprepared to address a potential shortfall in rare earth supplies due to China's dominance in this market [4] - The Trump administration is considering new tariffs on all U.S. imports of critical minerals in response to China's export controls [4]