China has started giving new export licences for rare earth magnets, and some of Ford’s suppliers were among the first to receive them. These licences, agreed after a meeting between Xi Jinping and Donald Trump, are meant to speed up shipments and reduce shortages that had disrupted the auto industry. Other nations, however, such as Germany, declare that their manufacturers were not part of it, a fact that casts doubt on the fact that China would prefer U.S. firms. Although the new system has the potential to benefit a number of people, it remains uncertain how extensively China will issue such licences or even whether the aerospace and semiconductor industries will be benefited. Ford was happy to receive the approvals but encouraged both nations not to stop the collaboration to address issues with supply chains.
Ford’s Suppliers Receive China’s New Streamlined Rare Earth Licences
