American President Donald Trump, Indian Prime Minister Narendra Modi and Chinese President Xi Jinping (Image: Patrika)
India and the United States of America's relationship has seen a rift in recent times over the tariff issue. US President Donald Trump had also threatened India from time to time not to buy oil from Russia over this matter. However, these threats had no effect on India. India and China's closeness increased due to America's stance, which was a setback for Trump. For this reason, Trump has praised India and its Prime Minister Narendra Modi several times in the past few weeks. Now, America's tone has changed again on one issue.
US Treasury Secretary Scott Bessent recently said in an interview that China has decided to impose new restrictions on the export of rare earth minerals, which will come into effect from next month. These include restrictions for foreign military use and several restricted rare earth minerals. Bessent described this as a 'China vs. the rest of the world' war and expressed hope for support from India and European countries on this issue.
Rare earth minerals are rare minerals found in the earth. They are used in the manufacturing of electric vehicles, smartphones, air turbines, LED lights, semiconductors, defence equipment, and many other important items. China controls 70% of their mining and 90% of their processing, giving China a monopoly on the global supply.
America needs rare earth minerals for many sectors. In such a situation, America is largely dependent on China in this matter, but amidst Trump's 'tariff war', China has imposed strict restrictions on the export of these rare earth minerals.
Even though China is strict towards America regarding the export of rare earth minerals, it has given an exemption to India. China has given special exemption to India by easing the restrictions imposed on the export of rare earth minerals, which will accelerate the production of items like electric vehicles, smartphones, semiconductors, and defence equipment in India. However, along with this exemption, China has sought a guarantee from India that these rare earth minerals will not be exported to America or any other country for arms manufacturing, to which India has given a green signal.
Published on:
15 Oct 2025 02:24 pm
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