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flag China restricts rare earth exports to U.S. defense firms, citing security, ahead of Xi-Trump meeting.

flag China has imposed new export controls on rare earths and related technologies, requiring foreign companies to obtain special approval for shipments containing even trace amounts of Chinese-sourced rare earth elements. flag The rules, announced by the Ministry of Commerce, expand licensing requirements, restrict exports of recycling and processing equipment, and limit the use of Chinese rare earths in overseas semiconductor and military applications. flag The move, justified by Beijing as a national security measure citing foreign transfers to sensitive sectors, targets U.S. defense firms and adds 14 foreign companies, mostly American aerospace and defense firms, to its “unreliable entities” list, citing ties to Taiwan. flag The controls come ahead of a high-stakes meeting between President Xi Jinping and former President Donald Trump, reflecting China’s growing use of resource dominance as a diplomatic tool amid ongoing trade tensions.

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