China’s geoeconomic strategy in the rare earth industry:Case studies

Abstract

This paper analyses the essence of China’s geoeconomics strategy in the rare earth industry, by analyzing two case studies, Japan, and the USA. China is the leading producer and exporter of rare earth elements, mineral substances that are critical to high technology sectors, clean industries, or defense. Available data suggest that China has been using its leading position to promote the development of the country’s main industries, but also to achieve geopolitical goals. The Chinese industrial and trade policies have made clear to importing countries the urge to keep global value chains’ resilience in strategic sectors for economic and national security.