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Investing.com-- Chinese rare earth stocks rose sharply on Thursday after Beijing expanded export restrictions on key processing technologies, stepping up efforts to safeguard its dominance in critical minerals used in defence and semiconductor industries.
The Ministry of Commerce said new measures will bar unauthorised overseas cooperation on rare earth processing and require government approval for exports involving high-end magnet and alloy technologies.
It added that exports linked to foreign defence projects would be prohibited, while those destined for semiconductor manufacturing would face tighter scrutiny.
The move underscores China’s intention to curb the outflow of advanced know-how and protect strategic resources amid escalating global competition over supply chains for critical minerals.
Shares of major local producers jumped, with Shanghai-listed China Northern Rare Earth (SS:600111) stock climbing 9%.
Shenghe Resources Holding Co Ltd (SS:600392) jumped 7%, while Shenzhen-listed Jl Mag Rare-Earth (SZ:300748) shares surged over 12%.
The latest action follows a series of export restrictions since 2023 that have increasingly tied rare earth policy to national security and technology self-reliance goals.