China curbs rare earth exports to Japanese companies after dual-use ban, WSJ reports

On Tuesday, China announced a broad ban on the ‍export to Japan of so-called dual-use goods with potential military applications. The Wall Street Journal reported that since Tuesday, China began restricting exports to Japanese companies of “heavy” rare earths, as well as the powerful magnets containing them, citing two exporters ⁠in ‌China.


Reuters | Updated: 08-01-2026 19:24 IST | Created: 08-01-2026 19:24 IST
China curbs rare earth exports to Japanese companies after dual-use ban, WSJ reports

China has begun restricting exports to Japanese companies of rare earths and powerful magnets containing them, the Wall Street Journal ‌reported on Thursday, after Beijing banned exports of dual-use items to the Japanese military. China's restrictions apply broadly across Japanese industries and are not limited ⁠to the defence industry, the Journal said. China's commerce ministry said on Thursday the export ban on dual-use items to Japan will only affect military firms.

"Civilian users will not be affected," He ​Yadong, a commerce ministry spokesperson, told reporters. On Tuesday, China announced a broad ban on the ‍export to Japan of so-called dual-use goods with potential military applications.

The Wall Street Journal reported that since Tuesday, China began restricting exports to Japanese companies of "heavy" rare earths, as well as the powerful magnets containing them, citing two exporters ⁠in ‌China. The Journal cited another ⁠unnamed person familiar with Chinese government decisions as saying the review of applications for export licenses across Japanese industry ‍has been halted and doesn't only target Japanese defence companies.

Dual-use items are goods, software or technologies ​that have both civilian and military applications. They include certain rare earth magnets that power motors ⁠in car parts such as side mirrors, speakers and oil pumps. Reuters could not immediately confirm the report. China's commerce ⁠ministry and foreign ministry did not immediately respond to Reuters requests for comment on the Journal report.

Ties between Beijing and Tokyo have deteriorated since Japanese Prime Minister Sanae Takaichi said ⁠in November that a Chinese attack on Taiwan threatening Japan's survival could trigger a military response, a ⁠remark that Beijing ‌said was "provocative". China has an export control list of around 1,100 dual-use items and technologies that manufacturers require a licence for to ship overseas, wherever ⁠the end user may be.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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