The US and China: Washington and Beijing discuss extending rare earth deal as export curbs disrupt global supply chains
On 18 May, Reuters reported that, US and China are discussing extending a temporary agreement on China’s rare earth export restrictions. However, Beijing continues to tightly control exports of critical minerals used in defence, semiconductors, aerospace, and electric vehicles. Experts say China is playing the export game with a restricted number of items, to ensure strategic control of the vulnerable supply chains. The shortages have caused a worldwide shortage of manufactured goods, and some US-based aerospace companies have even temporarily shut down manufacturing. The prices of some rare earths outside China are skyrocketing and the cost of magnets and sophisticated parts is rising as well. Furthermore, partners like Japan and Germany, which are highly reliant on Chinese supplies, have not been spared of the effect. However in response, the US, Japan, Germany, and G7 countries are investing in alternative supply chains, albeit experts state it will take years to wean off Japan's reliance on China.
(“White House gets small rare earth win, but China's export regime is here to stay,” Reuters, 18 May 2026).
https://www.reuters.com/business/aerospace-defense/china-has-agreed-address-us-concerns-over-rare-earth-shortages-says-white-house-2026-05-18/ 

New rare earth formations discovered in Northeastern China
On 18 May, South China Morning Post reported that Scientists in China have identified a new type of rare earths formation in the frigid northeastern provinces of Heilongjiang and Jilin. This is a discovery that could fundamentally challenge assumptions about how rare earths occur across the country. Unlike the clay-heavy deposits of southern China which require chemical leaching to release the elements, an expensive and strenuous process, the northern formations consist of loose sand and gravel formed by natural freeze-thaw cycles. This difference could make extraction more efficient, less costly and better for the environment. The find could help China further secure its global dominance in rare earths production
(Why China rare earth breakthrough in icy northeast could cement global dominance, South China Morning Post, 18 May 2026)
https://sc.mp/s2sl6