US, China Reach Rare Earth and Ethane Trade Deal

The United States and China have reached a major trade agreement on rare earth exports, with China agreeing to approve eligible export applications and the US pledging to lift certain restrictive measures. This breakthrough, confirmed by officials from both nations, comes after negotiations in London and follows earlier talks in Geneva. As part of broader efforts to ease trade tensions, both countries also agreed to temporarily reduce tariffs and non-tariff barriers, though experts caution that the deal remains fragile. In addition, the US has slightly eased restrictions on ethane exports to China, permitting shipments to be loaded and transported but not unloaded in Chinese ports without explicit US government approval. These developments are seen as steps toward stabilizing supply chains for critical minerals and petrochemicals, with future international meetings potentially offering further diplomatic progress. However, industry participants remain cautious due to operational uncertainties and the risk of renewed restrictions.