In Order To Obtain Rare Earth Export Licenses, German Companies Have Submitted Supply Chain Data To China!

According to Bloomberg, some German companies have submitted sensitive supply chain data to China in order to obtain six-month export licenses for rare earth minerals.

According to China’s previous requirements for rare earth export licenses, companies must provide relatively detailed information before applying for approval, including photos of the specific configuration of rare earths in products, production flow charts, customer lists, and even production data for the past three years and production expectations for the next three years.

The German Automobile Industry Association has expressed concern about this, believing that new export restrictions may cause production delays or even shutdowns. The industry is currently facing greater pressure, and some German companies have submitted relevant information as required.

 Photo source: VCG

According to relevant data, global rare earth reserves are about 110 million tons, of which China holds about 44 million tons.Although countries such as Vietnam, Brazil, Russia and India also have certain reserves, China has a complete industrial chain advantage in terms of rare earth separation, refining and downstream magnet manufacturing.

It currently accounts for approximately 70% of the world's rare earth mining, 90% of separation processing, and 93% of magnet production capacity.

This industrial advantage not only supports China's voice in new energy vehicles, motors, batteries and other industrial chains, but also forms an important influence on the global high-end manufacturing field.

Source: Bloomberg

In addition, according to some think tank reports, China already leads the world in 5 of 13 key technologies.It is accelerating to catch up in 7 technologies including artificial intelligence and robots.China has achieved dominance in electric vehicles, batteries, solar panels and other fields.

As a key resource supporting new energy vehicles, motors, semiconductors and high-performance materials, rare earths are becoming an important trump card in global technology competition.

Supply chain data submitted by German companies show that the global industrial chain is still very dependent on China's rare earths.