Gillibrand Presses China On Rare Earth Metals After WTO Rules Against China's Export Restrictions

Press Release

China Produces Over 95 Percent of World's Rare Earth Metals, But Restricts and Bans Shipments of Exports

After the World Trade Organization ruled earlier this month that China has violated international rules by restricting exports of raw materials used in clean technology products, U.S. Senator Kirsten Gillibrand (D-NY) pressed China's Ambassador to the United States today to address her specific concerns over the country's stronghold of rare earth elements (REEs). China accounts for over 95 percent of the world's supply of REEs -- minerals used in a broad range of household consumer products, as well as high-tech, clean energy and defense industry products that are vital for America's economic future and national security. China's restriction of export shipments creates an unlevel playing field among American companies.

Senator Gillibrand wrote in a letter to Ambassador Zhang Yesui, "This is deeply disappointing and harmful to the interests of both of our countries, as well as the global community at large… China's quotas, and the reported leveraging of its supply monopoly to force companies to shift production to China, have the potential to unfairly undermine the competitiveness of U.S. companies and to mitigate the benefit of years of American investment in the research and development innumerable green technologies."

Earlier this month, the World Trade Organization (WTO) announced that China violated WTO obligations by restricting exports on raw materials, with last year's supply at an all-time low. While the WTO's decision does not specifically address rare earth elements, China increased export restrictions last year on more than a dozen rare earth metals. Senator Gillibrand expressed concerns at the time and is now reiterating her call for China's Ambassador to reexamine the country's rare earth policies.

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