Step by step, how China seized control of critical minerals

China's far-reaching rules already affect manufacturers of semiconductors, cars and many other products. They will soon become much broader, writes Keith Bradsher from Beijing

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A rare earth refinery in Baotou, China.

Starting over a year ago, China has created an elaborate set of rules to cast a net over its exports of minerals the rest of the world can't live without.

These minerals with obscure names, mostly so-called rare earth metals, are vital for making a vast array of military and civilian goods, from fighter jets to semiconductors to cars.

The export controls have given Beijing enormous leverage because China is the dominant supplier. China is the sole producer, for example, of samarium, a rare earth metal used in many military applications. China is also the only country to master the difficult art of refining ultrapure dysprosium: The entire world's supply, needed for superfast chips, comes from a single factory near Shanghai.

Perhaps most important, China makes 90 percent of the world's rare earth magnets, used in electronics and electric motors. It is the only producer of some kinds of small magnets used in cars.

Beijing first invoked the new rules late last year. Officials suspended shipments to the United States of four metallic elements, but not yet rare earths, in retaliation after Washington placed tight limits on the export to China of the highest-performance semiconductors. China has since used export controls to put an increasingly tight grip on access to its rare earths.

China's export controls have become a key point of contention with the US government. They are expected to be discussed on Thursday when President Trump is set to meet with Xi Jinping, China's top leader. Senior American policymakers expressed hope after trade talks on Sunday that China might defer enforcement of its new rules.

China risks long-term damage to its own economy from the rules, by hurting the country's image as a reliable supplier.

Here is how China built its regulatory embargo around critical minerals.