Does Europe's involvement in the ongoing trade war between the US and China threaten?
Aug 02.08.2019, 3,9 - China's exports to the United States (USA) fell XNUMX percent (%) in July compared to the previous month, according to customs data.
It remains feared that Beijing will curtail its supply of rare earth products as part of a trade war with Washington.
The latest data came after US President Donald Trump asked the Pentagon to look for a better way to obtain a samarium-cobalt-earth permanent magnet used in special-purpose engines and warned that the country's defense in would be a difficult situation without adequate supplies.
China is the world's leading manufacturer of rare earth magnets, which are widely used in medical and consumer electronics as well as in the defense industry. Already in August 2018, Trump signed a bill banning the purchase of magnets from China for military purposes in the 2019 financial year.
China's exports go back
China's exports to the United States for rare earth magnets or rare earth-bonded materials last month amounted to 414.100 kilograms (kg), or about 414 tonnes, according to General Customs Administration data.
This represents a decline of 3,9% compared to 431 tonnes in the previous month, the highest monthly volume since at least 2016, and a year-on-year increase of 1,45%.
Roskill consulting firm battery and electric vehicle manager David Merriman said purchases of US rare earth magnets prior to the tariff announcement were "relatively small" compared to imports for electronics, automotive and other uses.
Trend reversal in the rare earth market, Lynas plays a key role
With regard to samarium cobalt magnets, the interesting trend is the increase in imports (in the US) from the Philippines and Malaysia, indicating a shift towards larger imports from Japanese and Australian manufacturers.
The numbers prove the facts from our 30.07.2019 report:
Lynas confirmed media reports earlier this month that reported an alliance. Thus, an agreement has been reached between Australia, USA and Japan, that rare elements from the Lynas production of LAMP in Malaysia should go directly to these states. The agreement is intended to help both industrialized nations to further break China's dominance. read more
Institute of rare earth metals Arndt Uhlendorff - August 2019
