How do China's new export restrictions on rare earths affect the supply of magnets?
Since 4 April 2025, new export restrictions for 7 metals classified as so-called rare earths have been in effect in China.
These metals are essential for the production of high-performance magnets such as neodymium-iron-boron (NdFeB).
These regulations for certain rare earth metals and the magnets manufactured from them are affecting supply chains worldwide – with longer delivery times and rising costs as a direct consequence.
The export controls affect the following 7 elements:
These metals are crucial for magnets that must withstand extreme conditions such as high temperatures, severe corrosion, or mechanical stress.
- Samarium (Sm)
- Gadolinium (Gd)
- Terbium (Tb)
- Dysprosium (Dy)
- Lutetium (Lu)
- Scandium (Sc)
- Yttrium (Y)
These metals are crucial for magnets that must withstand extreme conditions such as high temperatures, severe corrosion, or mechanical stress.
Current Situation – As of November 2025
In the course of the latest negotiations between the USA and China, a temporary suspension of the export control expansions planned for October 2025 was agreed. However, this suspension applies exclusively to those metals that would have been newly placed on the restrictions list, including holmium (Ho), erbium (Er), thulium (Tm), ytterbium (Yb) and europium (Eu). For the rare earths that were already regulated – in particular those needed for the production of high-temperature magnets – the existing export restrictions continue unchanged.The export of magnets continues to be significantly hindered.
Customs authorities are now also inspecting products that do not contain any of the elements listed above.
All magnet alloys are subject to random testing, including, for example, ferrite magnets and neodymium magnets.
In addition, testing laboratories in China are overtasked.
This results in unpredictable delays in the export of magnets, as the entire shipment is held up during testing.
Export is only possible once the material tests and a test certificate are available.
It is currently unclear when the situation will return to normal.
Notice on custom-made products
Due to the current situation, the following policies for custom-made products apply at supermagnete until further notice:- Custom-made products only for existing customers: At present, we only offer custom-made products to existing customers who have previously purchased the same item from us. Please note, however, that custom orders are currently not possible for magnets with high temperature resistance (above 120 °C).
- No new custom-made orders: We are currently not accepting any new orders for custom-made products.
- Surcharge of USD 350: Each order for a custom-made product is currently subject to a fee of USD 350. This fee is included in the unit price and covers the export-related testing costs (including laboratory tests) as well as customs duties incurred in China.
As a customer, you should expect the following impacts
Longer delivery times
The delivery of individual magnets and magnetic end products may be delayed. Our purchasing team is working closely with manufacturers and logistics providers to keep these delays as minimal as possible.Availability
Due to restricted processing at Chinese customs offices, shortages of all magnet products may occur worldwide.In particular, the availability of magnets with high temperature resistance (over 120 °C), as well as a few special designs, such as countersunk magnets, is extremely limited at this time.
Price trend
Rising raw material prices (+40 % since the beginning of 2025), higher transport costs, and additional customs clearance fees are currently leading to price increases for neodymium magnets. For more information, please refer to our FAQ page on the development of neodymium prices.We take this situation very seriously and are doing everything we can to minimise the impact on our customers.
We recommend that you consider this development in your planning and contact us at an early stage to ensure strategic stock management.
Thank you for your trust in supermagnete.
If you have any questions, our support team will be happy to assist you.
