US Companies Threatened With Sanctions May be Denied Chinese Rare Earth Materials

China could effectively block US-Taiwan arms trade if it cuts off rare earth supplies to the US as it controls a lion’s share of the planet’s rare-earth reserves. Some 80% of US imports of REEs from 2014-2017 are reportedly from China. The Pentagon accounts for about 1% of US demand, which in turn accounts for about 9% of global demand for rare earths, according to a 2016 report from the congressional US Government Accountability Office.

Taiwan’s $2.2 billion order consists of 108 Abrams Tanks, Stinger missiles and related equipment. While the navigation systems of the General Dynamics tanks are made using samarium-cobalt, Raytheon uses rare-earth minerals that have unique magnetic, heat-resistant and phosphorescent properties to manufacture sensors and guidance systems for its missiles.

Another major deal green-signalled by the US to Taipei is for F-16 jets. Rare earth materials are used in engines, disk drive motors, radar of the aircraft.

Other applications in the defense hardware manufacturing industries include fin actuators in missile guidance and control systems, control devices in tanks, missile systems, command and control centres; lasers, interrogators, underwater mines, countermeasures; satellite communications, radar, and sonar on submarines and surface ships; optical equipment and speakers,  components in anti-missile defense systems, satellites and night vision devices among others.

Each F-35 fighter, Virginia-class submarine and Arleigh-Burke guided missile destroyer requires 920 pounds (417kg); 9200 pounds (4,170kg) and  5200 pounds (2,360kg) of rare earth metals.

Terfonal-D is a rare earth alloy made of Terbium, Iron and Dysprosium that is used in high-power sonar on ships and submarines. Stealth helicopters also use Terfenol-D speakers in their noise cancellation technology blades and NdFeB magnets.

The following is a list of some of the US-made military hardware in which critical parts are made using REEs