What are rare earths? Why are they so important? Why is Trump sparring with China over them? All FAQs answered

For months, US and China appeared to simmer their trade tensions by striking deals and replacing warnings of an economic “war” with words like “thaw” and “truce”.

The hostilities now appear to return to a full boil. And, at the centre of this is rare earth minerals.

The US-China tussle over rare earths precedes the current Donald Trump administration, and has been a contentious topic between the countries for years.

But what even are rare earths and why are they so important? We explain.

What are rare earths?

Rare earths are a set of 17 lustrous silvery-white soft heavy metallic elements in the periodic table, made up of scandium, yttrium and the lanthanides.

The 15 lanthanides, along with scandium and yttrium, are usually included as rare earths.

While they are named ‘rare’ earths, these elements exist throughout the earth's crust and are more abundant than gold. However, rare earths are difficult and expensive to mine.

Because of their geochemical properties, rare-earth elements are typically dispersed and not often found concentrated in rare-earth minerals.

There are two types of rare earths, heavy and light, categorised by their atomic weights.

Why are rare earths so important?

Rare earths are crucial in day-to-day activities across the world. These elements are used in smartphones, wind turbines to LED lights and flat-screen TVs. They are also significant to make car batteries, and are important in MRI scanners as well as cancer treatments.

Rare earths are also used in various other electrical and electronic components, lasers, glass, magnetic materials, and industrial processes.

Where do rare earth minerals come from?

According to the International Energy Agency, 61 per cent of mined rare earth comes from China. The country controls 92 per cent of the global rare earth output in the processing stage.

India is another country that ranks in the top three globally in terms of reserves, but the actual rare earth production in the country is significantly low.

China is also a leader in separating rare earths after their extraction. This technology is particularly essential for heavy rare earths, which are more scarce.

The US has one operational rare earth mine in California, as per a CNN report.

What is the role of rare earths in US China trade war?

The US and China have sparred over rare earths for years, and Beijing's recent curbs on their exports have escalated a once-thawing trade war.

The rare earth export restrictions come just ahead of Donald Trump and Chinese President Xi Jinping's meet in South Korea.

In its latest curbs, China added five rare-earth elements – holmium, erbium, thulium, europium, ytterbium, and related magnets and materials – to its list of elements that require export licence.

Overall, China's export curb list has 12 rare earth elements,

China has leveraged rare earths in striking deals and making trade relations with the US, but the latest curb has triggered a 100% additional tariff from Donald Trump on all Chinese exports starting November 1.