China Extends Suspension of Rare Earth Export Controls

The Chinese government has decided to extend the suspension of export controls on five types of rare earth elements and their processing equipment. This measure remains in effect until early 2027 and aims to stabilize the global supply of these materials essential to the tech industry.

Elements such as holmium, erbium, thulium, europium, and ytterbium are included in this extension. However, restrictions applied since April 2025 on seven other minerals, including terbium and dysprosium, remain unchanged. The decision also maintains a reduced 10% tariff on products from the United States.

In Brazil, mining projects in Minas Gerais and Goiás are seeking a foothold in a market dominated by Chinese refining. The company Serra Verde, located in Minaçu, uses long-term contracts to secure the sale of its output. Meanwhile, Viridis Mining and Minerals has secured 77.5 million reais in credit from BNDES to advance its operations at the Colossus project.

China's control over 91% of global rare earth refining poses challenges for the independence of other nations. The need to build local processing chains remains a critical issue for investors. Fragility in long-term supply requires protection mechanisms against price swings and geopolitical uncertainty.

Instability in global supply chains for strategic minerals could increase dollar volatility and pressure risk premiums on assets tied to the commodities sector.