US Ambassador Warns China is Weaponizing Rare Earths Dominance
David Perdue states that Beijing's control over critical minerals poses risks to global supply chains, potentially leading to arrest and asset seizures for those attempting to diversify.
U.S. Ambassador to China David Perdue has issued a stark warning, stating that Beijing has "weaponized" its dominant position in critical minerals, particularly rare earths. Perdue cautioned that China has expanded its regulations to a point where efforts to diversify supply chains away from the country could result in individuals facing arrest, criminal prosecution, and asset seizures.
"This is a single-source dominant position that China is weaponizing against the world right now," Perdue said in an interview on "Fox News Sunday." "We have committed to them that this is unacceptable."
Perdue asserted that the U.S. will not yield to China in business dealings, noting that America's reliance on Beijing for critical materials developed over decades. He recalled that twenty years ago, the United States held dominant positions in sectors such as rare earth magnets, commercial shipbuilding, and pharmaceuticals, but these have since been overtaken by China due to U.S. inaction.
"And all these have been absconded by China in a way that we allowed over the last 20 years," Perdue stated. He added that the Trump administration is now focused on reversing this dependence and rebuilding domestic capabilities.
Perdue's remarks coincide with similar concerns voiced by U.S. Trade Representative Jamieson Greer regarding China's rare earth deliveries. Greer indicated that the U.S. desires greater volumes of these critical materials delivered in a more timely manner. He mentioned that President Trump has directly addressed this issue with Chinese President Xi Jinping, and it remains a key point of discussion.
Greer explained that the Trump administration is designating the upcoming two months as a "compliance period" to evaluate Beijing's adherence to its commitments. Additionally, the U.S.-China Board of Trade has recommended that both countries identify $30 billion in non-sensitive goods for more favorable tariff treatment, according to Greer's office. The U.S. Trade Representative's office also stated its commitment to ensuring China fulfills its agricultural and energy commitments.