The Group of Seven (G7) finance ministers have agreed to maintain a united front in response to China’s new export controls on rare earths and to explore diversifying suppliers, European Economic Commissioner Valdis Dombrovskis announced on Thursday.
Speaking to Reuters at the International Monetary Fund meetings in Washington, Dombrovskis highlighted that China currently dominates the global supply of rare earths, providing 80-90% of these critical minerals.
He said:
“It was clear that G7 partners share concerns about China’s extensive export controls, which cover not only a wide range of minerals but also the value chain and include broad extraterritorial provisions.”
The ministers agreed to coordinate their approach with Chinese counterparts for short-term solutions, while also continuing efforts to diversify and strengthen supply chain resilience in the long term.
