The carmaker should be able to produce electric vehicles or hybrid cars without disruptions "for at least about one year”

Talks going well, Lutnick says; US officials are expected to drop restrictions imposed recently on a range of technology and other products to China in return for better access to rare earth exports

Dialogue on Beijing's rare earth blockade has now become part of its negotiations on the EU's tariffs on China-made EVs, and it signals China's willingness to use its dominance in the critical industry as leverage

A new round of trade talks between US and Chinese officials got underway in London on Monday. They will focus on export controls on rare earths, chips and other issues.

A licensing system set up by China for exports of rare earth magnets gives it leverage similar to America's chip export controls because of its near-monopoly on the sector.

China has introduced a tracking system for rare-earth magnets; producers have to submit details online on trading volumes and client names, as it looks to curb access

China's failure to lift export curbs on critical minerals, as promised in Geneva, has heightened concerns by carmakers and other firms that rely on rare earths

China's decision to suspend exports of critical minerals and magnets has upended supply chains to carmakers, aerospace manufacturers, chip firms and military contractors

Most Asian markets fell on Monday amid concern about the rise in trade tension between the US and China

US Trade Rep says China was slow to restore access to rare-earth minerals, while Beijing was unhappy about new export controls and other moves imposed by the White House

Analysts say countries in Southeast Asia like Vietnam, Thailand and Malaysia, plus Mexico, who are part of the China-plus-one supply chain, will need to make better deals with Washington. 

Industry sources expect Beijing to ease process for US firms to get export licences for rare earths, while Australia is looking to set up a strategic reserve stockpile of critical minerals