China's Strategic Grip: Weaponizing the Global Supply Chain

China has strategically developed an export control system, modeled after the U.S., to influence global supply chains, particularly in rare earths essential for technology like EV motors and missiles. Recent trade tensions show China's control over rare earth exports is wielded as an implicit economic weapon.

China's strategy to weaponize the global supply chain through export controls has been a calculated move more than a decade in the making.

This approach, modeled after American sanctions, has allowed Beijing to exert significant influence over the trade of rare earth materials, crucial for technologies ranging from electric vehicles to missile systems.

Experts suggest that while China may permit more rare earth shipments, it will maintain its leverage over the global supply chain, with many international businesses nervously awaiting export license approvals from the Chinese government.

(With inputs from agencies.)