China's rare earth shipments rebound to highest since January

[Large mining rock dump trucks transporting Platinum ore for processing]
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MP Materials (NYSE:MP [https://seekingalpha.com/symbol/MP]) -1.5% and USA Rare Earth (NASDAQ:USAR [https://seekingalpha.com/symbol/USAR]) -3.1% pre-market Monday as China's exports of rare earth products including magnets extended their recovery [https://www.bloomberg.com/news/articles/2025-08-18/china-s-rare-earth-product-exports-jump-to-highest-since-january] in July.

Shipments reached their highest since January, with volumes sold overseas surging 69% to 6,422 tons in July, according to Bloomberg calculations.

China produces ~90% of the world's rare-earth magnets and its export controls launched in early April threatened to deprive major manufacturers including the U.S.; exports from China reached a low in May after China began the curbs, which covered shipments of seven rare earths as well as products made from them.

U.S. Trade Representative Jamieson Greer said earlier this month that China was "about halfway there" in terms of returning magnet supplies to where they were prior to the controls.

China has warned western companies against stockpiling rare earths or risk even greater shortages, the _Financial Times_ reported late last week [https://www.ft.com/content/9f9e222d-f351-4e0f-be9b-aab309562c6c].

China is "telling companies they cannot go out and build huge inventories in rare earths, or they will face shortages," which "will be a leverage point from now on" against foreign countries, according to the report.

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