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Chinese rare-earth magnet makers find ways to bypass export limits

Business

Chinese companies that make rare-earth magnets are getting creative to keep selling to the West, even as Beijing tightens export rules.
By tweaking how they make magnets and building them into products like motors, firms like Yonjumag are finding legal ways around the restrictions.
This matters because China basically runs the rare earth game—these materials are essential for things like cars and wind turbines.

How companies are adapting—and what's next

After US-China tensions led to stricter export controls in 2025, magnet makers started developing new tech, like heat-resistant magnets that skip restricted elements.
X-Mag is even working on magnets that can handle temperatures up to approximately 300 degrees Fahrenheit.
But with more government crackdowns and possible tougher rules ahead, traders and rare-earth companies warn Western buyers might start looking elsewhere for these key materials.
The whole situation is being watched closely since it could shake up global supply chains.