Recent export controls of China on the rare elements of the soil that cause chaos in the car supply chain: Report

China’s movement to impose strict export controls on rare land elements used in vehicle production has been reported to have been afraid of potential car deficiencies.

Earlier this month, Chinese President Xi Jinping approved boundaries in the shipments of seven rare land metals and magnets that are essential for the construction of electric vehicles – as well as military equipment such as fighter jets and drones, electronics and other main products.

The mass has left many Western firms with shares of key materials that will last six months or less, the Financial Times reported, citing interviews with government officials, drivers and metal traders.

“If we do not see magnets sending magnets to the EU or Japan at that time or at least close to it, then I think we will see knee problems in the automotive supply chain,” Jan Giese, a trader at Frankfurt Tradition, for The Outlet.

Elsewhere, a high executive of vehicles that demanded anonymity told FT that restrictions would be “subsequent” for car manufacturers, including Elon Musk Tesla.

China’s export checks – the last in a series imposed by Beijing – were revenge against President Trump to impose a total 145% tariff on Chinese goods imports. China had already banned the exports of galium, germanium and antimony and limitations on graphite deliveries.

Recent export controls require rare land firms in China to secure licenses from the Chinese Communist Party in order to send materials internationally.

Last week, Reuters reported that Tesla had banned imports of some parts of the car needed to increase the planned production of its future duo Cybercab and Semi Electric Truck in the trade warfare.

As reported by the post, China’s nearly control over the chain of the supply of rare land and other critical minerals has prompted national security concerns, given the strained relationships between Washington and Beijing.

China mining up to 70% of the world supply of critical minerals and controls 90% of processing capacity. Critics have also accused Beijing of using unfair trade tactics – including price manipulation and export restrictions – to suppress their advantage.

Experts have also warned that China can terminate remittances in the event of deteriorating diplomatic relations or an actual conflict.

Both Trump administration and Congress have been trying to address the flowering crisis.

Last year, rep. Rob Wittman (r-v.), Who runs the home election committee for the China Mineral Policies Work Group, introduced a trio of bills aimed at increasing the critical US mineral supply chain and limiting China addiction.

“We won’t fight them in any way than to have an alternative to what China does. And I think we can do it, and I think we can do it quickly,” Wittman the post told January.