China has tightened export controls on rare earths and related technologies, barring citizens from unauthorized mining overseas and requiring foreign entities to obtain licenses for exports containing over 0.1% of Chinese rare earths or using Chinese technology.

The new rules aim to prevent misuse in military or sensitive sectors, denying permits to companies linked to foreign militaries or on export-control lists.

Restrictions now extend beyond raw materials to intellectual property and technology, reinforcing China’s leverage in global supply chains and supporting its domestic industrial upgrade.

Exports for advanced semiconductors, AI with military potential, and other sensitive applications will be reviewed case by case, CNBC has reported.

Analysts say the measures strengthen China’s geopolitical leverage, particularly over the U.S., and could influence ongoing trade and security negotiations.