Yttrium and scandium shortages, worsened by China's export controls, are disrupting U.S. aerospace, semiconductors, and 5G production, raising national security concerns ahead of a key summit.

Rare earth shortages, especially for yttrium and scandium, are worsening in U.S. aerospace and semiconductor industries despite a recent trade truce with China. Yttrium prices have surged 60% since November and are now 69 times higher than a year ago, prompting two North American coating suppliers to pause production and ration materials. Scandium shortages are delaying 5G chip production as U.S. firms face export license delays. China’s exports of yttrium to the U.S. dropped sharply after April export controls, with only 17 tons shipped in eight months. The U.S. has no domestic scandium production and limited alternatives, raising national security concerns. Officials warn of growing risks ahead of a planned March summit between Presidents Trump and Xi.