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Rare Earth Metals Production is No Longer Monopolized by China

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Rare Earth Elements: The Technology Metals

In the midst of our daily hustle and bustle, we often donโ€™t notice the raw materials that go into the technologies we rely on.

Rare earth metals, also known as rare earth elements or simply โ€œrare earthsโ€, are one such group of raw materials. From this group of 17 minerals, many are found in a range of technologiesโ€”from our smartphones and laptops to electric vehicles and wind turbines.

Rare Earth Metals Production Over the Years

Despite the relative abundance of rare earth deposits, extracting them from the ground is difficult, and preparing them for usage entails significant environmental risks.

The U.S. was the worldโ€™s leading producer of rare earth metals from the 1960s to the 1980s. However, China took the helm in the 1990s and has been the dominant producer ever since.

YearU.S. Production (metric tons)Chinaโ€™s Production (metric tons)ROW Production (metric tons)U.S. % ShareChinaโ€™s % Share
198513,4288,50017,75734%21%
199022,71316,48020,91738%27%
199522,20048,0009,70028%60%
20005,00073,0005,5006%87%
20050119,0003,0000%98%
20100120,00011,0000%92%
20155,900105,00019,1005%81%
202038,000140,00062,00016%58%

In 1985, China introduced a policy that partially refunded the taxes paid by domestic producers of rare earths, which lowered costs for Chinese mining companies. This, in addition to lax environmental regulations and cheap labor, made Chinaโ€™s rare earth industry increasingly competitive. In fact, its production increased 464% between 1985 and 1995.

Meanwhile, in California, the Mountain Pass Mine struggled to compete with Chinese producers while facing stringent environmental regulations. Therefore, the U.S. share of production declined from 34% in 1985 to 6% in 2000 before ceasing completely in 2002.

Putting Rare Earths in Different Baskets

In 2010, China slashed its rare earth export quotas by 37%, pushing rare earth prices to all-time highs. This, in turn, fueled an influx of capital into the rare earth mining industry and kickstarted mining in other countries.

Namely, Australia saw a 672% increase in rare earth production over the last decade, and more recently, Myanmar entered the mixโ€”producing 30,000 metric tons of rare earths in 2020. Additionally, the Mountain Pass Mine is undergoing a revival following an investment from MP Materials in 2018. As a result, the U.S. share of production is growing again.

While the mining of rare earth metals is diversifying, 80% of refining still occurs in China. With the demand for rare earths projected to double by 2030, building both mining and refining capacity overseas may prove key in reducing reliance on China.

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Technology Metals

Charted: Where the U.S. Gets Its Rare Earths From

China accounts for 70% of U.S. rare earth imports.

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Between 2020 and 2023, China accounted for 70% of U.S. rare earth imports. This chart shows where the U.S. gets its rare earths from.

Charted: Where the U.S. Gets Its Rare Earths From

This was originally posted on ourย Voronoi app. Download the app for free onย iOSย orย Android and discover incredible data-driven charts from a variety of trusted sources.

China dominates the global supply of rare earth elements (REEs)โ€”a group of 17 minerals vital to everything from smartphones and electric vehicles to guided missiles and satellites.

Between 2020 and 2023, China accounted for 70% of U.S. rare earth imports, making it by far the countryโ€™s top supplier. Malaysia, Japan, and Estonia round out the top four.

CountryShare of U.S. Imports
๐Ÿ‡จ๐Ÿ‡ณ China70%
๐Ÿ‡ฒ๐Ÿ‡พ Malaysia13%
๐Ÿ‡ฏ๐Ÿ‡ต Japan6%
๐Ÿ‡ช๐Ÿ‡ช Estonia5%
๐ŸŒ Others6%

This chart breaks down Americaโ€™s rare earth import sources. The data comes from theย U.S. Geological Survey, Mineral Commodity Summaries, as of January 2025, andย Statista.

Chinaโ€™s Grip on Rare Earths

Despite their name, rare earths are relatively abundant in the Earthโ€™s crust. The challenge lies in finding them in high enough concentrationsโ€”and processing them economically and sustainably.

China produces around 90% of the worldโ€™s refined rare earths and is home to the largest capacity for separation and purification, giving it a chokehold on global supply chains.

Take yttrium, for exampleโ€”used in radar systems, lasers, and television screens. Between 2020 and 2023, 93% of all yttrium compounds imported into the U.S. came from China.

Other critical rare earths affected by this supply concentration include:

  • Samarium
  • Gadolinium
  • Terbium
  • Dysprosium
  • Lutetium
  • Scandium

Many of these elements are essential in military applications, electric motors, and next-gen electronics. Companies like Lockheed Martin, Tesla, and Apple rely on these materials in their core products.

Tariffs, Tensions, and Export Controls

As part of its response to Donald Trumpโ€™s new tariffs on Chinese goods, China recently expanded export restrictions on seven rare earth elements, temporarily suspending overseas shipments of the minerals.

The U.S. currently has only one rare earth mine: the Mountain Pass mine in California. While itโ€™s one of the richest rare earth deposits globally, nearly all of the ore extracted there is still shipped to China for final processing.

To diversify away from Chinese dependence, the U.S. has been actively seeking new supply partnerships. One potential opportunity is in Ukraine, whichย holdsย Europeโ€™s largest recoverable rare earth reserves. Currently, the Trump administration is working to close aย dealย to secure access to these untapped resources.

Learn More on the Voronoi Appย 

If you enjoyed this graphic, be sure to check outย this chartย illustrating the GDP impact of Trumpโ€™s tariffs on China.

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Misc

Charted: The End-of-Life Recycling Rates of Select Metals

End-of-life recycling rates measure the percentage of a material that is recovered at the end of its useful life, rather than being disposed of or incinerated.

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A chart ranking the end-of-life recycling rates (EOL-RR) of commonly used metals in the economy, per 2021 data from the International Energy Agency.

Charted: The End-of-Life Recycling Rates of Select Metals

This was originally posted on our Voronoi app. Download the app for free on Apple or Android and discover incredible data-driven charts from a variety of trusted sources.

We visualize the end-of-life recycling rates (EOL-RR) of commonly used metals in the economy. Data is sourced from the International Energy Agency, last updated in 2021.

โ„น๏ธ EOL-RR is the percentage of a material or product that is recycled or recovered at the end of its useful life, rather than being disposed of in landfills or incinerated.

Tracking recycling rates helps manage resources better and make smarter policies, guiding efforts to cut down on waste.

Ranked: The End of Life Recycling Rates of Select Metals

Gold has an 86% recycling rate according to the latest available data. Per the Boston Consulting Group, one-third of total gold supply was met through recycling between 1995โ€“2014.

MetalEnd-of-life recycling
rate (2021)
๐Ÿ” Used In
Gold86%๐Ÿ’ Jewelry / Electronics
Platinum/Palladium60%๐Ÿ”ฌ Optical fibers / Dental fillings
Nickel60%๐Ÿ”‹ Batteries / Turbine blades
Silver50%๐Ÿ’ Jewelry / Mirrors
Copper46%๐Ÿ”Œ Electrical wiring / Industrial equipment
Aluminum42%โœˆ๏ธ Aeroplane parts / Cans
Chromium34%๐Ÿฝ๏ธ Stainless steel / Leather tanning
Zinc33%๐Ÿ”— Galvanizing metal / Making rubber
Cobalt32%๐Ÿ”‹ Batteries / Turbine engines
Lithium0.5%๐Ÿ”‹ Batteries / Pacemakers
REEs0.2%๐Ÿ“ฑ Mobile phones / Hard drives

Note: Figures are rounded.

Several factors can influence metal recycling rates. According to this International Resource Panel report, metals that are used in large quantities (steel) or have a high value (gold) tend to have higher recycling rates.

However, for materials used in small quantities in complex products (rare earth elements in electronics), recycling becomes far more challenging.

Finally, a metalโ€™s EOL-RR is strongly influenced by the least efficient link in the recycling chain, which is typically how it’s initially collected.

Learn More on the Voronoi App

If you enjoyed this post, check out Critical Materials: Where China, the EU, and the U.S. Overlap which shows how critical materials are classified within different jurisdictions.

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