Archive · 12 Jun 2025
Rare Earths: The 21st Century's Oil and Global Power
Imagine some special ingredients called rare earths that are super important for making things like phones and electric cars.
China has a lot of these ingredients and makes most of them, too.
This gives China a lot of power because it can control how much of these ingredients other countries get.
Because of this, other countries are now trying to find their own sources of these ingredients so they aren't as dependent on China.
Rare earth minerals are essential for modern technology, including smartphones, EVs, and wind turbines.
China holds approximately one-third of the world's rare earth reserves and dominates production.
China's control allows it to potentially disrupt industries by influencing production and exports.
Countries globally are working to diversify rare earth sources to reduce reliance on China.
Rare earths are becoming crucial for both national security and the transition to clean energy.
- Who
- China, the US, and other countries reliant on rare earths, along with companies using them.
- What
- The increasing importance of rare earth minerals and China's dominance in their production and supply.
- When
- The importance of rare earths has grown significantly in the 21st century.
- Where
- China has the largest share of rare earth reserves and controls most of the processing capacity.
- Why
- Rare earths are critical for modern technology and green energy, giving China significant economic and geopolitical leverage.
China's Position
Other Nations' Position
Market Control
China's Position
China aims to maintain its dominance in the rare earths market to leverage its economic and political influence.
Other Nations' Position
Other nations seek to establish their own rare earth supply chains, diversifying away from China's control.
- Mineral Group
- Rare Earths
- Global Reserves
- 130 million tonnes (estimated)
- China's Reserves
- 44 million tonnes (approx. one-third)
- Dominant Producer
- China
- Primary Uses
- High-tech devices, green energy, and military technology
