The geopolitics of rare earth elements

China’s new export controls on rare earth elements (REEs) are a problem for EVs, renewables, and other industries that rely on the minerals, especially the permanent magnets they’re used in. The vast majority of the global supply chain is in China. Plus, Chinese companies control supply chain operations around the world. 

So is it possible to stand up a rare earth supply chain outside of China’s control?

In this episode, Shayle talks to Ahmad Ghahreman, co-founder and CEO of REE recycler Cyclic Materials. (Energy Impact Partners, where Shayle is a partner, invests in Cyclic.) They cover topics like:

• REE 101: the basket of 17 minerals, how they’re mined and processed, and the most important five
• Why an REE supply chain hasn’t been built outside of China, even though the raw materials exist outside the country
• The timeline of Chinese export controls leading up to the April escalation and what could come next
• The specifics of what’s limited, including oxides, alloys, and magnets
• Why Ahmad is optimistic about building an ex-China supply chain
• Other potential pathways, like recycling and designing more REEs-efficient products

Recommended resources:

The New York Times: The Mine Is American. The Minerals Are China’s.

The New York Times: How China Took Over the World’s Rare Earths Industry

Axios: China trade war risks stifling America's electric car movement

Heatmap:  China’s Minerals Pause All Pain, No Gain for U.S

Latitude Media: Building a supply chain for rare earth elements

Credits: Hosted by Shayle Kann. Produced and edited by Daniel Woldorff. Original music and engineering by Sean Marquand. Stephen Lacey is executive editor.

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