India is discussing with China its export control measures on rare earth related products, calling for predictability in trade in line with global norms, the Ministry of External Affairs said.
“The Chinese Ministry of Commerce and General Administration of Customs had announced export controls on certain rare earth related items, in early April. We are in touch with the Chinese side – both here in Delhi and in Beijing – to bring predictability in supply chain for trade consistent with international practices,” MEA Spokesperson Randhir Jaiswal said on Thursday in response to a question at a media briefing.
US-China deal
In April this year, China placed export controls on seven rare earths and related products used in the defence, energy, and automotive sectors. While the measures were in response to US President Donald Trump’s tariffs on Chinese products, it affected manufacturers across the globe, particularly of automobiles, including in India.
Now that Trump and Chinese President Xi Jinping are trying to close a trade deal that may include Beijing’s commitment to supply rare earth and related products to the US, other countries could be left high and dry if they fail to sort out the matter.
China, too, has indicated that it may be ready to talk to India on export controls on rare earths. Responding to a question on whether China was considering lifting the ban on rare earths for India at a media briefing on Thursday, Chinese Foreign Ministry Spokesperson Lin Jian said the country was willing to hold dialogues with relevant countries.
“We are willing to enhance dialogue and cooperation with relevant countries and regions to jointly keep the global industrial and supply chains stable,” he said.