Xinhua News Agency, Beijing, October 10 China's Ministry of Commerce (MOC) and General Administration of Customs jointly issued Announcement No. 58 of 2025 on October 9, announcing export controls on rare earth-related technologies, high-energy-density lithium batteries, lithium battery production equipment, and advanced cathode materials starting November 8. The policy adjustment, based on the Export Control Law and other regulations, aims to safeguard national security interests and fulfill non-proliferation obligations.
Controlled Items Cover Core Technologies and Products Across Sectors
The announcement specifies four key regulated categories:
- Rare Earth Sector: Concurrent MOC Announcements No. 61 and 62 stipulate export licenses are required for technologies covering the entire rare earth industrial chain (mining, smelting, magnet manufacturing) and their carriers. Exports of overseas rare earth items containing ≥0.1% Chinese-origin components also need Chinese approval. Five medium-heavy rare earth materials including holmium are directly listed.
- Lithium Batteries & Equipment: Lithium-ion batteries with energy density ≥300 Wh/kg (HS code 85076000), six types of production equipment (winding machines, stacking machines, etc.), and related manufacturing technologies are subject to licensing.
- Cathode Materials: Lithium iron phosphate (compaction density ≥2.5 g/cm³, capacity ≥156 mAh/g), lithium-rich manganese-based materials, and NCM/NCA precursors are regulated.
- Declaration Rules: Enterprises must clearly mark item attributes and control codes in customs declarations; shipments with questionable information will be held.
Policy Background: Dual-Use Nature and Security Concerns
An MOC spokesperson noted these items have significant dual-use characteristics. Recent cases showed some overseas entities diverted Chinese-origin items and technologies to military-sensitive areas, posing potential national security risks. Humanitarian exemptions are included for emergency medical and disaster relief purposes.
Industry Impact: Short-term Adjustments and Long-term Standardization
According to a report by CATL, the world's top lithium battery maker, the regulated high-energy-density batteries mainly supply high-end NEV and energy storage markets. Domestic enterprises are accelerating capacity restructuring to comply with the policy. For advanced materials like high-compaction lithium iron phosphate, industry analysts noted the policy will restrict cutting-edge technology outflow, forcing overseas firms to obtain products through legal trade rather than technology transfer.
The MOC emphasized the controls are not targeted at specific countries, and legitimate export applications will be approved normally. China is willing to communicate with other nations via bilateral mechanisms to jointly maintain global industrial chain stability.