Weekly News Review August 3 – August 9 2026

The importance of recycling materials for securing raw material supply is growing, as demonstrated this week by a new initiative launched by China. In Germany, there were also new developments regarding the possible extraction of rare earths, although additional exploration work will first be required.

USA: EXPORT RESTRICTIONS ON BLACK MASS AND TUNGSTEN SCRAP:

On Friday, U.S. President Donald Trump authorized the Department of Commerce to develop export restrictions on waste streams containing critical raw materials to strengthen supplies for the defense industry. The Department’s Bureau of Industry and Security (BIS) has now issued the first concrete measures (PDF). They cover so-called black mass from shredded lithium-ion batteries as well as tungsten waste and scrap. Starting on August 27, U.S. sellers must reserve their entire monthly sales volumes of these materials for domestic buyers.

The agency may grant exemptions on a case-by-case basis, for example if the rule would cause exceptional hardship for a company. Processing abroad will also remain possible, provided that the recovered material is subsequently returned to the United States. The measures are initially set to remain in force for one year.

According to the Financial Times (paywall), the United States has increasingly exported tungsten scrap this year to the Philippines, Taiwan, Vietnam, and South Korea. At the same time, no commercial tungsten mining has taken place in the country since 2015. The US Geological Survey states that several domestic companies are capable of processing tungsten concentrates, ammonium paratungstate, tungsten oxide, or scrap into tungsten powder, tungsten carbide powder, or tungsten chemicals. However, the agency has not provided information on the scale of these processing capacities.

The U.S. battery recycling chain also remains underdeveloped. A report published in July by the US Government Accountability Office (GAO) concluded that domestic processing capacity is insufficient, meaning that recyclable material is often landfilled or exported for processing abroad.

GERMANY: A NEW PUSH FOR RARE EARTH MINING:

China’s dominance in rare earth production is well known. However, deposits of these critical raw materials also exist in Germany, including at Storkwitz in the state of Saxony. The deposit has been known since the GDR era, and additional exploration drilling was carried out in the 2010s. At that time, the low ore grade, complex geology and prevailing market conditions made commercial extraction appear uneconomic.

Munich-based start-up Hades is now taking a fresh look at the project. According to the company, it has received the exclusive right from the Saxon Mining Authority to continue exploring the deposit.

Hades plans to rely on new technological approaches. A proprietary laser drilling system is intended to accelerate access to the deep ore body and significantly reduce drilling costs. The company also aims to recover the rare earths through in-situ leaching, dissolving the minerals underground and pumping the solution to the surface. This method could minimize disturbance to the land surface compared with conventional mining. Whether the process is suitable for the geological conditions at Storkwitz remains to be proven, however, as the technology has so far only been tested under laboratory conditions.

CHINA: MAJOR EXPANSION OF RARE EARTH RECYCLING:

A new five-year plan sets recycling targets for batteries, metal scrap, and solar and wind power components through 2030. The country also aims to make metal production more environmentally friendly.

China plans to significantly expand the recycling of end-of-life batteries, metal scrap, and components from solar and wind power installations by 2030. This is outlined in the new five-year plan for green and low-carbon industrial development published on July 31. The Chinese Ministry of Industry and Information Technology has defined specific volume targets and additional measures to promote more sustainable metal production.

By 2030, China aims to recycle more than one million tonnes of spent traction batteries each year. Recovered materials such as lithium, cobalt, and nickel are expected to cover 10–15% of the raw material demand for traction battery manufacturing. To achieve this, China plans to modernize existing recycling capacities and strengthen oversight across the entire value chain.

The plan also sets targets for the circular use of key secondary raw materials. Their utilization is expected to increase from 380 million tonnes in 2025 to 510 million tonnes by 2030. Annual production of recycled non-ferrous metals is targeted at 25 million tonnes, while 300 million tonnes of steel scrap are to be recovered and processed each year.

Targets have also been established for end-of-life solar and wind power components. By 2030, around 80,000 tonnes of photovoltaic modules and 170,000 tonnes of wind turbine rotor blades are to be recycled annually. In addition, the production of steel and non-ferrous metals is to become more environmentally friendly, including through greater use of renewable electricity in electrolytic aluminum production.

USA: MP MATERIALS REVENUE JUMPS IN Q2:

U.S.-based rare earth producer MP Materials reported a sharp increase in second-quarter 2026 revenue, which rose 89 percent to $108.5 million. The increase was driven by higher sales volumes of neodymium-praseodymium oxides and metals (NdPr) as well as stronger market prices.

Offsetting factors included the suspension of rare earth concentrate sales since July 2025 and slightly lower revenue from magnetic precursor products. MP Materials nevertheless remained loss-making, although its net loss narrowed to $20.3 million from $30.9 million in the same quarter last year.

In addition, MP Materials recorded $17.6 million from a price-support agreement with the U.S. Department of Defense, which guarantees a minimum price of $110 per kilogram of NdPr for ten years.

CHINA: RARE EARTHS EXPORTS WELL BELOW IN JULY COMPARED TO LAST YEAR:

At 4,223 tonnes, exports also fell below the level recorded in the previous month.

China, the world’s largest producer of rare earths, exported around 4,223 tons of the raw material group in July.

This is according to the latest figures released by the Chinese customs authority. Exports were therefore 17.3 percent lower than in the previous month (we reported). The decline was even more pronounced compared with the same month last year: export volumes fell by 29.5 percent. At that time, China had still exported 5,994 tonnes. The 4,223 tonnes recorded in July also represent the lowest level since March 2026.

The Chinese customs authority’s monthly publication covers all 17 elements of the rare earth group, not only the seven particularly critical elements for which Beijing introduced export controls in April 2025. A detailed breakdown by individual products and destination countries is published in the second half of each month.