China has tightened its grip on critical minerals, expanding export controls on rare earths and other materials vital to the clean-tech and defense industries. The EU, which relies on China for almost 99 percent of its rare earth supply, has been scrambling to reduce its dependency.
Speaking to reporters in Rome on Friday, Šefčovič said the EU is now having “high-level official talks on export controls” with China. “I will speak again with my Chinese counterpart very, very soon,” he added.
Šefčovič also said that he envisioned a “common purchase of critical raw materials” by the EU. “We can do the bidding on behalf of the biggest trading bloc in the world, which is the European Union, and to get the critical raw materials for a better price,” the EU trade chief said.
Beijing’s export controls have rattled markets and snarled supply chains, with European companies facing long delays and sharp price increases due to shortages of raw materials. The European Commission hustled to secure its own supplies of rare earth magnets and to launch a plan to diversify Europe’s supply chain by the end of the year.
“The EU welcomed China’s 12-month suspension of the relevant export controls published on 9 October 2025,” European Commission spokesperson Olof Gill said in a statement. “This is an appropriate and responsible step in the context of ensuring stable global trade flows in a critically important area.”
G7 allies, meanwhile, are seeking to coordinate their responses to China’s grip on the supply of crucial minerals. G7 ministers on Friday signed dozens of deals for critical minerals under the group’s new supply-chain pact aimed at countering China’s dominance in rare earths.
