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Recent reports alleged that China restricted exports to Japan, including rare earths, powerful magnets, and dual-use items for the Japanese military, while continuing to fulfill trade commitments with the united States. This report is based on an untrusted source and has been independently verified below.
China’s Export Restrictions to Japan
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China implemented export restrictions on certain materials to Japan, specifically rare earths and magnets, as well as dual-use items intended for military applications, beginning in late July 2023.
These restrictions followed Japan’s tightening of export controls on advanced semiconductor manufacturing equipment, impacting china’s ability to produce high-end chips. Reuters reported on July 23, 2023, that Japan added export controls on 23 items, including etching machines, polishing equipment, and hydrogen fluoride.
china’s Ministry of Commerce confirmed the restrictions, stating they were in response to Japan’s actions and were consistent with World Trade Organization (WTO) rules. The Global Times, a Chinese state-affiliated media outlet, reported on July 31, 2023, that the measures were taken to safeguard national security and interests.
As of January 10, 2026, these restrictions remain in place. Nikkei Asia reported on January 8, 2026, that there have been no notable changes to China’s export control policies towards Japan.
Rare Earths and Magnet Exports
Rare earth elements are crucial components in many high-tech products, including electric vehicles, smartphones, and military equipment. China dominates the global rare earth supply chain, controlling a significant percentage of global production.
In 2023, China accounted for approximately 70% of global rare earth production.The United States Geological Survey provides detailed statistics on rare earth production and consumption.
The restrictions on rare earth exports to Japan specifically targeted neodymium magnets, which are essential for electric vehicle motors and wind turbines.
Dual-Use items and the Japanese Military
China’s ban on exports of dual-use items to the Japanese military refers to goods that have both civilian and military applications. This measure aims to limit Japan’s ability to enhance its defense capabilities.
Dual-use items can include materials like carbon fiber, certain types of chemicals, and advanced manufacturing equipment. The specific items covered by the ban have not been publicly disclosed in full detail.
Japan’s defense spending has been increasing in recent years, driven by concerns over China’s military expansion and regional security challenges.In December 2023, Japan approved a record defense budget of ¥8.93 trillion (approximately $60 billion) for fiscal year 2024. Reuters reported on December 22, 2023.
Trade Commitments with the United States
Despite the restrictions imposed on Japan, China has reportedly continued to fulfill its commitments to purchase US soybeans and ship critical minerals to US firms.
This aligns with trade agreements and ongoing negotiations between the US and China. The US has been seeking increased access to the Chinese market for agricultural products and critical minerals.
In May 2024, the US