BUSINESS

China Steps Up Enforcement of Critical Mineral Export Controls

Published: May. 29, 2026 10:13 p.m. GMT+8

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Chinese authorities have increasingly targeted the unauthorized outflow of essential materials, including rare earth magnets and minerals such as gallium, titanium, and bismuth. Photo: VCG

China has penalized at least 11 companies this year for illegally exporting restricted rare earths and critical minerals as Beijing intensifies its crackdown on strategic resource smuggling.

The latest violation surfaced Thursday, when superhard material producer Monte-Bianco Diamond Applications Co. Ltd. announced it was fined 910,000 yuan ($133,914) for shipping state-controlled dysprosium in April 2025 without a required export license.

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China penalized at least 11 companies in 2025 for illegally exporting restricted rare earths and critical minerals.
Monte-Bianco fined 910,000 yuan for exporting dysprosium without a license; Puyang Refractories indicted for mislabeling graphite; JA Solar fined 1.3 million yuan for unlicensed graphite parts.
Seven government bodies launched a coordinated anti-smuggling task force in Shenzhen.

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Who’s Who

...: {"chinese":"中国今年已对至少11家非法出口受限稀土和关键矿产的公司进行处罚，包括罚款和起诉，并成立联合工作组打击走私。","english":"China has penalized at least 11 companies this year for illegally exporting restricted rare earths and critical minerals, fining and prosecuting offenders, and forming a joint task force to combat smuggling."}

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What Happened When

Late 2023：: China implemented export controls on natural flake graphite.

Mid-2023：: China’s Ministry of Commerce began progressively rolling out export controls on key tech minerals.

2024：: China added rare earths and related mining technologies to the export restriction list.

By 2026：: China penalized at least 11 companies for illegally exporting restricted rare earths and critical minerals.

Early 2026：: A subsidiary of JA Solar Technology Co., Ltd. was fined 1.3 million yuan for shipping unlicensed graphite parts to Vietnam.

Early May 2026：: Seven government bodies, including the Ministry of State Security and the Supreme People’s Court, launched a coordinated anti-smuggling task force in Shenzhen.

April 2026：: Monte-Bianco Diamond Applications Co. Ltd. shipped state-controlled dysprosium without a required export license, later fined 910,000 yuan on May 28, 2026.

April 2026：: Puyang Refractories Group Co. Ltd. disclosed that it was indicted for smuggling and four individuals arrested for mislabeling over 1,240 tons of natural flake graphite to bypass export controls.

May 28, 2026：: Monte-Bianco Diamond Applications Co. Ltd. announced it was fined 910,000 yuan for exporting dysprosium without a license in April 2026.

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