<div id="readability-page-1">China’s tightening grip on rare earth exports is forcing a rethink of global supply chains, with knock‑on effects across autos, defence, and advanced manufacturing. General Motors (NYSE: GM), Raytheon (NYSE: RTX), and Tesla Inc. (NASDAQ: TSLA) remain directly exposed as China’s April 2025 export licensing regime continues to shape procurement decisions, even after Beijing moved in late 2025 to streamline some licences rather than unwind controls outright1. Against this backdrop, small‑cap Harena Rare Earths (OTCQB: CRMNF) (LSE: HREE) is positioned as an early-stage developer focused on non-Chinese rare earth supply diversification amid persistent geopolitical risk.The common thread linking GM, Raytheon, and Tesla is dependence on NdFeB permanent magnets and heavy rare earths such as dysprosium and terbium, materials China still dominates across mining, separation, and magnet manufacturing2. Beijing’s controls now cover both selected materials and finished magnets, with additional scrutiny around end uses and downstream exposure. While recent policy adjustments have eased some near‑term bottlenecks, the regime continues to inject uncertainty into Western OEM planning. Large caps with early hedging strategies are proving more resilient, while laggards face production risk, cost inflation, and strategic vulnerability in both civilian and defence programmes.Harena Rare Earths (OTCQB: CRMNF) (LSE: HREE) is advancing a large‑scale ionic clay rare earth asset outside China at a time when governments have publicly emphasized the importance of developing alternative rare earth supply chains. The company’s 100%-owned Ampasindava Project in Madagascar hosts a JORC‑compliant 699 million tonne resource3, making it one of the larger clay‑hosted rare earth deposits identified outside China.Ionic clay systems are attractive because they can offer lower capex and simpler processing compared with hard‑rock deposits, potentially accelerating development timelines. Ampasindava contains a basket of magnet metals such as neodymium, praseodymium, dysprosium, and terbium that are aligned with EVs, defence electronics, wind turbines, and robotics. With the technical components of its pre‑feasibility study submitted, institutional support, and engagement with U.S. stakeholders seeking non‑Chinese supply, Harena sits at the intersection of geology, geopolitics, and policy momentum.General Motors (NYSE: GM) electric vehicle and full‑size vehicle platforms rely heavily on NdFeB permanent magnets for traction motors, leaving the group exposed to China’s dominance over magnet supply. Management moved earlier than many peers to mitigate this risk, building on supply‑chain initiatives that pre‑date 2025 but have taken on greater urgency since China’s licensing regime was introduced.GM has signed a multi‑year agreement with Noveon Magnetics4 for domestically produced magnets and is an anchor customer for MP Materials’ Texas magnet facility5, expected to reach commercial output in late 2025. A separate partnership with VAC to establish North American capacity further diversifies sourcing. Analysts note that these hedges helped cushion GM as China’s April 2025 export controls came into force, illustrating how an early supply‑chain strategy can translate into competitive advantage.Raytheon (NYSE: RTX) sits at the sharp end of rare earth geopolitics. Its radar systems, missile guidance, and avionics platforms depend on permanent magnets6. This includes samarium‑cobalt and NdFeB, and other specialised rare earth inputs subject to China’s export controls. While defence‑linked exports face heightened scrutiny, recent policy adjustments have focused more on licensing procedures than outright bans, leaving uncertainty around timing, compliance, and future availability.Raytheon continues to work with the U.S. Department of Defense and domestic suppliers to qualify alternative sources, but scaling non‑Chinese magnet supply remains a multi‑year challenge. In the interim, rare earth constraints remain a strategic bottleneck for defence primes, reinforcing Washington’s push to support upstream mining, processing, and magnet manufacturing capacity outside China.Tesla Inc’s (NASDAQ: TSLA) rare earth exposure extends beyond EV drivetrains into emerging businesses such as robotics. Both EV motors and Optimus humanoid robots rely on compact, high‑performance permanent‑magnet motors that use NdFeB magnets7, keeping Tesla linked to global rare‑earth supply chains, which remain heavily concentrated in China. Industry commentary in 2025 highlighted how China’s export licensing regime for rare‑earth magnets introduced supply‑chain pressure for companies like Tesla, with public comments from Tesla’s CEO about challenges in securing export licences for Optimus robots and reporting on broader licence‑requirement impacts for rare‑earth magnets.Although Beijing has begun issuing longer‑dated export licences, approvals remain case‑specific, preserving China’s leverage over timing, pricing, and compliance. The episode underscores how rare earth controls can influence not only near‑term manufacturing but also longer‑term innovation roadmaps in areas such as robotics and automation.China’s export controls are reshaping competitive dynamics across autos, defence, and advanced manufacturing. Global industrial players such as GM, Raytheon, Tesla, and defence and technology firms illustrate how large caps are actively de-risking magnet supply through diversified sourcing agreements and domestic partnerships in response to a regime that has evolved but not disappeared.Meanwhile, upstream rare earth developers like Harena Rare Earths plc, advancing the Ampasindava rare earth project in Madagascar, may play a role in efforts to diversify supply outside China’s dominant production ecosystem. As Beijing refines rather than retreats from its export controls, diversified rare earth projects and early supply‑chain hedges are increasingly viewed as essential strategic responses to structural risk in critical materials markets.Learn More about Harena Rare Earths’ Project and Development Strategy</div>

China's rare earth export controls are reshaping global supply chains, impacting companies like GM, Raytheon, and Tesla. These firms are adapting by diversifying their sourcing strategies to mitigate risks associated with China's dominance in rare earth materials. Harena Rare Earths is emerging as a key player in non-Chinese supply diversification, with significant resources in Madagascar. The ongoing geopolitical tensions and export licensing regime continue to create uncertainty for Western manufacturers, emphasizing the need for alternative supply chains in the rare earth sector.

- China's export controls on rare earths are prompting a reevaluation of global supply chains in sectors like automotive and defense.  
- Major companies such as General Motors, Raytheon, and Tesla are adapting their strategies to mitigate risks associated with reliance on Chinese rare earth materials, which remain critical for various technologies.  
- Meanwhile, Harena Rare Earths is advancing its Ampasindava Project in Madagascar, aiming to contribute to non-Chinese rare earth supply diversification amid ongoing geopolitical challenges.

Rare Earth Crisis Sparks Race for Non-China Supply