AFP, Gyeongju

China’s decision to impose export controls on rare earths was a “mistake” and drew attention to Beijing’s ability to use them as a coercive tool, US Treasury Secretary Scott Bessent said in an interview published Saturday.

Beijing announced new controls in October on exports of technologies related to rare earths, crucial for manufacturing in defence, automobile, consumer electronics and other industries.

The restrictions were a major sticking point in trade negotiations between Beijing and Washington, and China said it would halt them after presidents Xi Jinping and Donald Trump met this week.

In an interview with the Financial Times, Bessent said: “China has alerted everyone to the danger. They’ve made a real mistake.”

“It’s one thing to put the gun on the table. It’s another thing to fire shots in the air,” Bessent said.

Xi and Trump met on the sidelines of the Asia-Pacific Economic Cooperation summit in the South Korea this week. Following the talks, China said it would suspend certain export restrictions, including on rare-earth materials, for one year.