New Chinese export regulations for rare earth materials

On the 9th of October 2025, the Chinese government announced new export restrictions on rare earth materials and products derived from them, such as permanent magnets. These measures may affect the global availability of certain magnet materials.

The new regulations – fixed in Announcements 57 and 61 – stipulate, among other things, that products containing more than 0.1% heavy rare earth metals of Chinese origin may only be exported with a special licence. Additional requirements also apply to applications in the semiconductor industry, including the production of chips with a line width of 14 nm or less.

In addition, with Announcement 57, China is adding the element holmium (Ho) to the list of regulated heavy rare earth metals. This metal is used in specific types of permanent magnets and may lead to additional analysis requirements or export restrictions in the future.

Announcements 56 and 62 are also relevant to the permanent magnet chain. Equipment for processing magnetic materials, such as cutting and grinding machines, is now also subject to stricter rules fixed in Announcement 56.  Announcement 62 restricts the exchange of knowledge of production technology and all technical data related to rare earth metals and permanent magnets.

Overview of heavy rare earth metals (HREs)

Heavy rare earth metals (HREs) are a group of elements that are of great importance for high-quality magnet applications, partly because of their high temperature stability and strong magnetic properties.
China has now placed a large proportion of these elements under export control.

The current Chinese export restrictions include:

• Samarium (Sm)
• Gadolinium (Gd)
• Terbium (Tb)
• Dysprosium (Dy)
• Lutetium (Lu)
• Scandium (Sc)
• Yttrium (Y)
• Holmium (Ho) – newly added

Not yet subjected to restrictions (but possibly in the future):

• Erbium (Er)
• Thulium (Tm)
• Europium (Eu)
• Ytterbium (Yb)
• Neodymium (Nd)
• Praseodymium (Pr)

This last group is currently not subject to Chinese export controls, but may be added in a subsequent phase.

Special Goudsmit Magnetics team for export restrictions

To provide customers with optimal support in these developments, Goudsmit has set up a special team that focuses entirely on export restrictions.
This multidisciplinary team closely monitors all changes in regulations and helps customers find practical and technical solutions to ensure continuity.

An important part of this is advising on HRE and HRE-free alternatives.
Our specialists help customers select magnetic materials that deliver the same performance but fall outside the Chinese restrictions.
This allows projects to continue without being dependent on licensing processes or scarce raw materials.
Customers greatly appreciate this expertise and customised support, precisely because it enables them to limit delivery risks while still meeting their technical requirements.

When necessary, we can also help customers simulate the application with HRE-free alternatives. We have an engineering competence centre for this purpose.
As we build our own magnet systems in Waalre and the Czech Republic, we have practical know-how to help customers with their systems.

Logistical knowledge as added value

In addition to technical support, the Goudsmit Export Restrictions Team also assists with logistical optimisation.
By working with customers to select the best port and transport method (air or sea freight), we achieve the shortest possible delivery times.
In addition, we offer transparent insight into current delivery times and expected lead times, something our customers find very pleasant and distinctive.

This combination of technical knowledge, supply chain insight and logistics expertise sets Goudsmit Magnetics apart from other market players and offers customers certainty, even in a changing geopolitical climate.

Reliable partner in magnetic solutions

The measures taken by the Chinese government are beyond the control of Goudsmit, but we continue to act proactively to guarantee continuity of supply for our customers.
With our European stocks, diverse supplier networks, local assembly facilities and specialist knowledge, we offer certainty, continuity and quality – even in a changing market.

Do you have any questions or signals from the market on this subject?

Please contact us.