The crisis surrounding China’s rare earth export restrictions continues to escalate, with US auto suppliers now joining their European counterparts in demanding urgent government intervention to prevent widespread production disruptions across the automotive industry.
According to a report by Reuters, MEMA, the Vehicle Suppliers Association, issued a stark warning Wednesday that auto parts companies are facing “serious, real-time risks” to their supply chains due to China’s tightened export controls on rare earth elements and magnets. The restrictions, implemented in early April, require exporters to obtain licenses from Beijing through what industry sources describe as an opaque and burdensome application