China’s Economic War – GOP Warns of Rare Earth Crisis as Beijing Tightens Grip
“China’s Economic War: GOP Warns of Rare Earth Crisis as Beijing Tightens Grip”
The Henryettan
China Escalates Economic Tensions With New Sanctions
While Washington wrestles with the ongoing shutdown, a far greater geopolitical challenge looms—China’s economic warfare against the United States.
Beijing announced it will tighten export controls on rare earth minerals and has sanctioned five U.S. subsidiaries of South Korea’s Hanwha Ocean, escalating its retaliatory campaign against Western supply chains.
Treasury Secretary Scott Bessent called the development a national security alarm bell. “Rare earths aren’t rare,” he explained. “What’s rare is the refining capacity—and China controls nearly all of it.”
Bessent said the U.S. Department of Defense has now taken a 15% stake in NP Materials, launching an “Operation Warp Speed” effort to rebuild domestic refining infrastructure and guarantee minimum prices for processors to prevent Chinese market manipulation.
China’s Strategy: Rob, Replicate, Replace
Bessent described China’s long-term playbook as one of “Rob, Replicate, Replace”—a systematic approach to stealing U.S. technology, undercutting competitors, and monopolizing global production.
“What happened to the refining sector is textbook Chinese strategy,” he said. “They bought U.S. companies, kept operations here just long enough to learn the systems, then shipped everything to China once the contracts expired.”
Emmer: ‘China Is Financing a War on America’
Rep. Tom Emmer echoed Bessent’s warning and placed blame squarely on the Biden administration. “China isn’t just competing—they’re financing a war against us economically,” he said.
Emmer criticized what he called “a cast of losers”—President Joe Biden, Secretary of State Antony Blinken, and National Security Advisor Jake Sullivan—for “kneeling to global interests” instead of defending U.S. industry.
“If we didn’t have Donald Trump right now, I don’t know what the future would look like,” Emmer said. “President Trump has credibility with the Chinese—they know when he speaks, he means it.”
The Iron Range Solution
Emmer pointed to Minnesota’s Iron Range, one of the largest untapped deposits of precious metals in North America, as a cornerstone of restoring U.S. self-reliance.
“We have the resources right here,” he emphasized. “It’s time to mine, refine, and manufacture in America again.”
President Trump’s strategy of tariffs and reshoring incentives, he added, is forcing companies to rebuild domestic supply chains—a move now seen as critical to national defense.
America’s Next Industrial Challenge
China’s dominance in rare earths affects more than just electronics. These minerals are essential for EV batteries, missile guidance systems, and advanced weaponry. Losing access to them could cripple the U.S. defense and energy sectors.
“This isn’t just about trade,” Emmer warned. “It’s about survival in a world where economic warfare has replaced tanks and missiles.”
As the U.S. ramps up production and reclaims its refining capabilities, Beijing’s economic pressure may have unintentionally strengthened America’s resolve to rebuild what it once led: industrial independence.
