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| Rare Earth |
Beijing eyes expedited approvals, as tensions ease amid high-level talks in Paris
China has announced its readiness to accelerate the examination and approval process for rare earth exports to European Union companies, a move that could relieve pressure on European manufacturers amid ongoing concerns about critical mineral access. The news came from the Chinese Ministry of Commerce on Saturday, June 7.
The ministry also confirmed it will issue a decision on its trade investigation into EU brandy imports by July 5, signaling a potential thaw in trade tensions that have clouded China-EU relations over the past year.
Brussels-Beijing Talks Show Tentative Progress on Trade Frictions
The update followed discussions in Paris between Chinese Commerce Minister Wang Wentao and EU Trade Commissioner Maros Sefcovic, held earlier in the week. A ministry statement said both sides discussed several high-profile disputes, including the EU’s scrutiny of Chinese electric vehicle (EV) exports.
According to the statement, price commitment consultations on Chinese-made EVs sold in the EU have now entered their final stage, though the ministry noted that “efforts from both sides are still needed” to reach a conclusion.
The remarks mark tentative progress on multiple fronts of a strained trade relationship, especially around issues of strategic resources and industrial competition. While the EU has raised concerns over China’s dominance in rare earths and the potential for supply manipulation, Beijing has responded with probes into perceived EU protectionism, including the brandy case and the EV investigation.
As rare earths remain vital to the EU’s green transition and defense sectors, any improvement in export processing times could ease short-term supply risks. However, broader structural tensions are likely to persist as both sides attempt to protect their industrial bases in an increasingly geopolitically charged environment.
ScrapInsight Editorial Commentary
China’s signal to speed up rare earth approvals for the EU is a tactical de-escalation—likely aimed at deflecting European backlash over EV exports and avoiding a tariff spiral. Still, the supply chain remains vulnerable to political shifts. Diversification efforts in the EU and the U.S. must continue regardless of temporary relief.
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