Trump and Xi prepare to negotiate rare earth export restrictions

Trump and China's Xi Jinping are expected to meet in late 2025 to talk about trade. One big issue is rare earth metals, which are used to make advanced technology and military equipment.

China controls about 90 percent of the world's rare earth processing. In April 2025, it introduced licensing rules for exports, two days after Trump raised tariffs on Chinese goods. China then announced stronger controls in October 2025.

Both countries agreed to a one-year pause on restrictions in November 2025. However, companies say Chinese export licences are often delayed or refused. A 10 percent drop in rare earth supply could cause $150 billion in losses globally.