ZGXT(SZ:000831) Di Yi Cai Jing·2025-10-09 08:54Core Viewpoint - The recent announcements by the Chinese Ministry of Commerce regarding export controls on rare earth items and related technologies aim to refine the regulatory framework and address violations by companies attempting to circumvent existing measures [1][2]. Group 1: Key Content of the Announcements - The implementation of the "minimum percentage" rule and "direct product" rule marks the first application of Article 49 of the Export Control Law, which includes foreign-manufactured products containing 0.1% value of Chinese-origin rare earth items [4]. - The licensing application details focus on a "blacklist" and military-related uses, with a general principle of denying licenses for entities on the control list or involved in military applications [5][6]. - A compliance notification mechanism has been established, requiring exporters of rare earth items to provide a compliance notice to importers or end-users, enhancing supply chain management [7]. Group 2: Additional Regulatory Measures - The implementation of Article 12 of the Export Control Law expands restrictions on Chinese citizens and entities participating in overseas rare earth manufacturing activities, including those not listed in the control list [8]. - Certain categories of rare earth-related technologies are exempt from controls, while subsequent disclosures of technologies not yet in the public domain will be subject to approval [9][10]. - Overall, the announcements reflect a selective borrowing of international practices in export control, indicating potential future expansions of the regulatory framework as China's industrial and technological capabilities grow [11].