Globalization
Rising Tensions between US and China over Rare Earths: Sign of Imminent Decoupling
Tensions between the US and China over rare earths, with new Chinese export measures and Trump’s tariff threats, cause losses of over $1.5 billion in two days and put the APEC summit at risk. China controls 85-90% of the global rare earth processing capacity, essential for the supply chain, affecting sectors such as defense, semiconductors and electric vehicles, and companies like Boeing, Nvidia and Tesla, accelerating decoupling.
October 30, 2025