SHORTAGES OF RARE EARTH METALS FROM CHINA POSE A THREAT TO GERMAN INDUSTRY, SAYS FAZ
TRUMP S TRADE WAR BACKFIRES, THREATENS TO DEINDUSTRALIZE AMERICA AND EU
US, GERMAN DEF INDUSTRIES MAY SOON RUN OUT OF CRITICAL METALS NEEDED FOR MISSILES JUST AS STOCKS RUN OUT
TRUMP S TRADE DEAL WITH JAPAN ALSO COLLAPSES AS JAPANESE CAR MAKERS FACE BANKRUPTCY EATING THE TARIFFS
The Dutch and German businesses are already suffering from a severe shortage of rare earth metals and facing a halt to producton.
The FAZ reports that many German businesses may soon be unable to keep up production due to a shortage of rare metals from China.
Magents and rare earth metals are also needed for electric motors used in cars, washing machines and other appliances.
https://www.faz.net/aktuell/wirtschaft/unternehmen/seltene-erden-chinas-rohstoffstopp-bedroht-deutsche-produktion-110517973.html
Half a million applications for the export of magnets and rare earth metals to german are in the pipeline, according to Betram Kawlath.
Queries are answered with the message "Sorry, look for another supplier."
But with China supplying 90% of the world rare earth minerals, that is harder said than done.
https://www.deutsche-versicherungsboerse.de/finanzen/Seltene-Erden-werden-zur-t%C3%B6dlichen-Falle-f%C3%BCr-deutsche-Industrie-mp_1211.html
https://industriemagazin.at/maschinen-anlagenbau/alarm-im-maschinenraum-vdma-warnt-vor-gefaehrlicher-abhaengigkeit-von-chinas-rohstoffen/
https://bits-chips.com/article/dutch-industry-feels-the-pinch-of-chinas-rare-earth-export-controls/
"VDMA, an industry association in Germany, warned that the supply of rare earths is becoming increasingly difficult for German equipment and plant manufacturers. It called on the European Union (EU) to exert more pressure on China.
VDMA President Bertram Kawlath said to journalists that "we are already seeing rare earths no longer reaching our members."
China, which controls 90% of the global processing capacity for rare Earths, used in everything from cars and fighter jets, to home appliances and other products, imposed export restrictions in early April, requiring exporters obtain licenses from Beijing."
https://energynews.oedigital.com/mineral-resources/2025/06/12/german-engineering-group-urges-eu-to-exert-pressure-on-china-regarding-rare-earths
US businesses find themselves facing similar shortages after Mad Donald launched a trade blockade.
A shortage of rare earth metals also means the US and NATO will be unable to replenish their low stocks of missiles and ammo.
China has little incentive to restore the export rare metals which are so criticial to the US defence industry as the Pentagon s stocks of air missiles and other vital weapons run out given the fact Trump and the Pentagon keep threatening China with war, invasion etc
Who is going to supply their self declared number 1 enemy with weapons if they can avoid it?
In fact, China can deliver a crushing blow to the American economy and military industrial base by withholding rare metals, bringing entire industries to a halt, sending unemployment soaring and fuelling popular discontent with Donald the Mad.
When the trade war started, Trump was threatening China not to impose reciprocal tariffs.
Of course, China did impose tariffs because the Chinese gov does its homework, basic maths and knows it has all the cards in its hands.
In a sign of how desperate Trump has become to get any deal with China, he has lifted curbs on ethane and chip design software, which was supposed to be the key bargaining chip.
Just a few weeks later, Trump s trade war threatens to bring US production lines in the defense industry and car industry.
In a desperate move, Trump is nw lifting curbs on products
The problem? The Chinese obviously do not need these products.
If they needed US chip design software, they would not have been able to produce a Mach 12 rocket, aircraft able to reach the US in 40 minutes.
If the Chinese needed the ethane, they would not have withheld rare earth metals.
https://www.zerohedge.com/markets/trade-thaw-us-lifts-curbs-ethane-chip-design-software-exports-china
A trade deal with Japan is also on the verge of collapse.
Trump s propaganda arm claims the fact the Japanese car manufacturers absorbed the tariffs is a win.
When those car manufacturers face bankruptcy because their thin profit margins disappear, it is a disaster for the Japanese economy.
What does Japan get out of doing a "deal" with Trump let alone before his self imposed deadline of July 9th? Little.
Does Trump have the power to impose a one sided deal on Japan? No.
So, its stale mate with the time running out for Trump as the mid terms loom and his voters revolt over his broken promises, corruption and incompetence.
From media
One correction to the esteemed Japanese media outlet: not "trying", but succeeding, simply because automakers have had no choice: sure, they could have hiked prices long ago but the outcome would be a collapse in demand for Japanese cars, with market share taken over by domestic producers and other, cheaper, foreign automakers.
All of this is taking place as trade talk negotiations between the US and Japan are going nowhere, and in fact, Tokyo had gotten so emboldened by the theatrical standoff between Washington and Beijing, it thought it could get away with simply demanding away US tariffs. As a result, despite weeks of negotiation, the US-Japan teams have gotten nowhere with just one week left to go until the July 9 deadline, which is why Trump lashed out - in a very polite fashion - at the "spoiled" mercantilist Japan, which refuses to make any compromises.
https://www.zerohedge.com/markets/japan-finally-admits-its-carmakers-have-been-paying-all-trump-tariff-costs-trade-talks
The battle for digital AI supremacy is well underway, and the next dominant chatbot may not be Western-made. Those who lead in AI and the production of low-cost, advanced weapons—such as drones and hypersonic missiles—will shape the global balance of power in the 2030s and beyond.
A group of high-profile tech investors, including military tech entrepreneur Palmer Luckey and venture capitalist Joe Lonsdale, is preparing to launch a new bank designed to serve the niche left behind by the collapse of Silicon Valley Bank — and to do so with ambitions that extend deep into cryptocurrency, defense tech, and artificial intelligence.
https://www.zerohedge.com/political/thiel-joins-luckey-lonsdale-launch-new-bank-aimed-filling-svb-void-stablecoins-ai-defense
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