ZGXT(SZ:000831) Sou Hu Cai Jing·2025-10-14 09:40Core Viewpoint - China's Ministry of Commerce announced new export controls on specific rare earth technologies, particularly those related to military applications, which has sparked significant reactions from the U.S. and other countries [4][9][11]. Group 1: Export Control Announcement - On October 9, China's Ministry of Commerce decided to implement export controls on certain rare earth technologies, including extraction and separation processes for metals like terbium, erbium, and dysprosium [4]. - The policy aims to manage the use and flow of these technologies, particularly in areas that may pose national security risks, rather than completely halting exports [9][11]. Group 2: U.S. Reaction and Misinterpretations - The U.S. response was immediate, with Treasury Secretary Janet Yellen suggesting that China's move was a sign of economic distress and a distraction from other issues, such as the Middle East situation [6][11]. - The U.S. interpretations of China's motives reflect a misunderstanding of China's strategic intentions, which are based on compliance and sustainable resource management rather than economic desperation [6][8]. Group 3: Importance of Rare Earth Elements - Rare earth elements are critical for modern industries, including electric vehicles, batteries, wind power, semiconductors, and military equipment, making China's export controls significant on a global scale [4][11]. - The U.S. heavily relies on China for rare earth materials, with military applications being particularly sensitive, as seen in the F-35 fighter jet, which requires over 400 kilograms of rare earth materials per unit [11]. Group 4: Broader Implications and Strategic Context - The situation highlights the growing geopolitical tensions and the U.S.'s tendency to politicize trade and resource management issues, viewing them through a lens of national security [13][15]. - China's export control policy is part of a broader strategy to align with international responsibilities and ensure the sustainable use of its resources, contrasting with the U.S.'s approach of imposing restrictions on China in various sectors [9][13]. Group 5: Call for Dialogue - The article emphasizes the need for constructive dialogue between China and the U.S. to address mutual concerns about resource management and industry security, rather than engaging in speculation and misunderstanding [15][17]. - Establishing transparent rules and collaborative efforts for sustainable development is presented as a more effective approach than adversarial posturing [17].