Home » Blog » 2025 China Magnet Ban Explained for Global Buyers
As a magnet manufacturer based in China, we know many of our international partners are seeking clear, up-to-date information about China’s rare earth export policies. Since April 2025, the landscape has changed rapidly—affecting magnet pricing, licensing, and global supply chains.
This article summarizes the timeline, context, and what these developments mean for you—whether you’re sourcing NdFeB magnets, planning inventory, or navigating compliance.
🔍 Why This Matters
Rare earth elements (REEs) like dysprosium, terbium, and neodymium are critical to many industries—automotive, electronics, clean energy, and defense. China is the world’s largest producer and exporter of these materials. So when China adjusted its export control policy in 2025, the impact was immediate and global.
📅 Key Timeline: China’s Magnet and Rare Earth Export Policy in 2025
April 4 — Export Controls Announced
China’s Ministry of Commerce required export permits for seven medium-to-heavy rare earth elements, including their oxides, alloys, and sintered NdFeB magnets. These materials are widely used in electric vehicles, wind turbines, robotics, and defense systems.
What happened:
Exporters had to apply for new licenses before shipments could leave.
The permit process became more selective and slower.
Prices of key elements like dysprosium and terbium tripled in Europe within a month.
May — U.S.-China Trade Friction Intensifies
Tensions between China and the U.S. grew, particularly over tech restrictions. A rare earth dispute resolution mechanism was set up, but many license applications remained stuck.
Prepared the ground for more transparent export processes.
Encouraged many buyers to resume or increase orders cautiously.
June 27 — “London Framework” Agreement Confirmed
The two countries finalized the agreement. China restarted rare earth and NdFeB magnet exports to the U.S., and the U.S. began lifting select tech restrictions.
Results:
Magnet exports to the U.S. surged 660% in July.
Supply began to recover—but was still below pre-April levels.
License approvals remained conditional and case-by-case.
China grants quicker export permits for some EU partners.
Talks continue around long-term “resource-for-tech” agreements.
Smaller EU buyers may still face longer permit approval times.
July 18 — China Issues New Mining & Smelting Quotas (Confidential)
China released its 2025 rare earth mining quotas, but details were kept confidential for national security reasons.
Implications:
Supply is being carefully managed within China.
Export volumes remain limited, reinforcing the need for early planning.
Buyers should work closely with trusted Chinese suppliers to navigate approvals.
July 24 — Upcoming China-EU Rare Earth & Tech Summit
European leaders and Chinese officials are expected to finalize broader cooperation. Topics may include stable magnet supply agreements, joint recycling programs, and new licensing terms.
🌍 Global Impact So Far
💰 Price Volatility
Rare earth prices (especially dysprosium and terbium) increased 2–3x in just weeks.
Magnet production costs rose, impacting EVs, wind turbines, and electronics.
🚚 Supply Chain Disruptions
Many buyers struggled with delays or unexpected permit rejections.
Buyers turned to stockpiling or alternative sourcing—adding to global pressure.
📉 Recovery Underway (But Not Fully Stable)
Since July, exports have resumed to the U.S. and EU.
Licensing remains selective, not automatic.
China is managing supply carefully to meet both domestic and global needs.
📌 What This Means for You as a Magnet Buyer
Whether you’re sourcing NdFeB magnets, custom assemblies, or rare earth materials, here are key recommendations:
✅ 1. Plan Early
Allow extra time for export permit processing. Normal 2–3 week shipments may now take longer, especially for heavy rare earth products.
✅ 2. Work with Licensed Exporters
Ensure your supplier has export license experience and understands the current policy. Not all factories can legally export under the new system.
Policies are evolving fast. Stay connected with suppliers who can give timely updates on:
Export license status
Magnet material availability
Pricing and lead time changes
Save this page to stay updated.
🧲 Final Thoughts from a China Magnet Supplier
We understand how critical stable supply is to your production. As a long-time manufacturer and exporter of custom neodymium magnets, we’re actively supporting clients with:
Updated delivery timelines
Real-time pricing updates
Export licensing support
Engineering and material alternatives when needed
If you need help navigating this evolving situation or want to discuss forecasted demand, feel free to reach out. We’re here to provide reliable support—even in uncertain times.
Hi, I’m East – magnetic systems engineer and outdoor enthusiast. By day, I develop mission-critical technologies for medical implants and aerial transport systems. When not optimizing electromagnetic solutions, you’ll find me trail-running with my wife or mapping mountain routes. Here to share insights and spark innovation – let’s build what matters.
Retired, living in the Scottish Borders after living most of my life in cities in England. I can now indulge my interest in all aspects of living close to nature in a wild landscape. I live on what was once the Iapetus Ocean which took millions of years to travel from the Southern Hemisphere to here in the Northern Hemisphere. That set me thinking and questioning and seeking answers.
In 1998 I co-wrote Millennium Countdown (US)/ A Business Guide to the Year 2000 (UK) see https://www.abebooks.co.uk/products/isbn/9780749427917
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