Asean must grab its rare-earth shot

US President Donald Trump's return to Southeast Asia last month felt like a rerun — tariffs, tough talk, and televised deals. But this time, he left behind more than headlines. From Kuala Lumpur to Hanoi, Mr Trump inked trade pacts promising tariff relief on US exports in exchange for joint ventures in mining and refining the rare-earth minerals that power the world's clean-tech boom.

- Imran Khalid

Rare-earth mining activity at the Nam Ngiep Reservoir, Mekong Tributary, in Xiangkhouang province, Laos, on Nov 15.REUTERS

(REUTERS)

The timing could not have been sharper. Just days earlier, Beijing had moved to expand export restrictions on rare-earth compounds and semiconductor materials under MOFCOM Announcement No.61. With China refining roughly 92% of the global supply, the shock rippled fast — NdPr oxide prices jumped about 40% in two months, and automakers scrambled for magnets. Ford idled production lines in June; Volkswagen flagged fresh delays in October.

At the Apec summit in Busan on Oct 30, Mr Trump and Chinese President Xi Jinping reached a temporary truce. Washington cut some tariffs by 10 per cent; Beijing suspended the new export controls until late 2026. For the Association of Southeast Asian Nations (Asean), this pause is a breathing space, but also a warning that the region's fate in the clean-energy race cannot hang on decisions made in Washington or Beijing.