In the year 1992, former Chinese leader Deng Xiaoping famously said “The Middle East has oil, China has rare earths.” Rare-earth elements are metallic elements that are essential for technology, and are used in smartphones, laptops, motors, and defense systems. However, China would not merely mine and export these rare earths, instead dominating the production, processing, and manufacturing of rare-earth elements. China currently accounts for around 70% of rare-earth mining, and 90% of processing. China can use this near monopoly to secure concessions regarding market access, technology, or tariffs. We have already seen this happen in June, when China utilized…