China targets US rare earth and other firms with export controls

China has added 10 U.S. entities it said are linked to the U.S. military, including two rare earth firms, to its export control list in retaliation for Washington placing several Chinese companies under restrictions earlier this month.



Rare earth producers MP Materials and USA Rare Earth , as well as motor manufacturer for mission-critical applications Aveox were among those placed on the list, halting Chinese dual-use exports to the companies.



Pentagon-backed MP Materials, which operates the only active rare earth mine in the U.S., and USA Rare Earth are both involved in the mine-to-magnet supply chain.



The three U.S. companies were not available for comment outside of business hours.



The measures are a response to the "U.S. government's malicious practice" and were taken to safeguard national security and interests, as well as to fulfil international obligations such as non-proliferation, China's Commerce Ministry said in a statement on Monday.



"Organisations and individuals in any country or region are prohibited from transferring or supplying dual-use items originating in China to those entities," it said, adding that export activities should be stopped immediately.