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Impact of the Chinese government's announcement on April 4 regarding restrictions on rare earth exports (updated July 1, 2025)

On April 4, 2025, China's Ministry of Commerce and General Administration of Customs implemented export controls on seven types of medium- and heavy-rare earth elements (samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium) and related items (including metals, alloys, related products, oxides and mixtures thereof, compounds and mixtures thereof).
Among these, the elements related to permanent magnet materials are Sm (samarium), Tb (terbium), and Dy (dysprosium).
 Additionally, regarding the scope of management for permanent magnet materials as outlined in the notice, products such as sheets, tiles, and other primary processed items (including magnetic steel, magnetic rings, magnets, and various other related names) made by simply processing samarium cobalt permanent magnet materials, terbium-containing neodymium-iron-boron permanent magnet materials, and dysprosium-containing neodymium-iron-boron permanent magnet materials are subject to management (inspection). rings, and related magnetic components (such as magnetic steel, magnetic rings, magnets, etc.) are subject to management. Many of the products we produce are subject to management (inspection).
 Although our products do not contain these regulated elements, all products exported under the “magnet” HS code are subject to inspection. We submit customs applications accompanied by the SDS for the materials used in the products and the component analysis results from an analysis laboratory certified by customs. Our company and our affiliated factories apply for an “export license,” and the issuance of the license follows a certain procedure. While this process takes more time than before, exports are still being conducted.
 Currently, the minimum required time for application is one week at the shortest and 45 business days (approximately two months) under normal circumstances. Following this, export arrangements are necessary, and if any suspicions arise, re-inspection by customs may be required, resulting in actual delivery times of approximately three to six months, or longer in some cases.
We apologize for the inconvenience caused by the time and costs required to conduct fair export procedures, but we kindly ask for your understanding. Please note that an “Export Application Permit” is required for each item and is valid for six months from the date of issuance. When placing an order, please arrange for sufficient quantities well in advance.
※This information is based on the information currently available to our company. We will update this information as new information becomes available. Please refer to the latest information in the title (Updated on ●●, 2025).

Translated with DeepL.com (free version)