China has imposed new restrictions on the export of materials and technologies related to cathode production, the essential components used in electric vehicle (EV) batteries. This protectionist move—officially justified as a measure to ensure the “sustainable development” of the domestic battery industry—adds another layer of control over the global supply chain of strategic materials
Years ago, Beijing had fully opened its doors to Western companies eager to manufacture locally. Over time, however, China has gradually distanced itself from these partnerships—absorbing foreign technologies, replicating production models, and building up the industrial capacity that today makes it the world’s leading supplier in several strategic sectors.
This dominant position, which has created vulnerabilities in Western supply chains, is one that China now seeks to defend through export restrictions on key products and raw materials deemed vital to foreign industries.
The latest measure specifically targets technologies used to produce cathode materials—critical for manufacturing EV batteries, an area in which China holds clear global leadership.
The restriction follows earlier bureaucratic hurdles introduced by Beijing for the export of seven types of rare earth elements and their derived magnets—a move that caused significant disruption for Western and Japanese automakers, as well as for robotics and advanced device manufacturers reliant on electric motors.
Now, the Ministry of Commerce has added battery cathode preparation technologies to the list of controlled exports. A decision that directly impacts lithium iron phosphate (LFP) and lithium manganese iron phosphate (LMFP) battery chemistries. In practice, the restriction applies to all phosphate-based batteries, meaning virtually all EV batteries are affected.
Under the new rules, companies wishing to export any related technologies must now apply for specific government authorization.
Simultaneously, Beijing updated its “Catalogue of Technologies Prohibited and Restricted from Export from China”, introducing additional constraints on non-ferrous metallurgy technologies. The updated list includes:
- The production of lithium carbonate and lithium hydroxide from spodumene (a lithium-aluminum silicate),
- The preparation of metallic lithium and lithium alloys,
- The extraction of lithium from brines,
- The purification of lithium-bearing liquids,
- And revised criteria for gallium extraction.
As a result, all these technologies now require pre-export licensing.
It’s worth noting that China is the undisputed leader in LFP technology, which is increasingly favored by European manufacturers due to its lower cost compared to nickel-manganese-cobalt (NMC) chemistry—despite NMC offering higher energy density.
Beijing’s decision serves two primary purposes:
- To retaliate against the ongoing trade war with the United States, reignited by tariffs originally imposed under Donald Trump.
- To tighten control over one of the world’s most strategic technologies—crucial to the global electric transition now championed by European environmental policies.
In essence, China’s new export restrictions signal its intent to consolidate technological dominance in the EV battery sector and to assert geopolitical leverage over the global shift toward electrification.
Titolo: Exports of battery materials and technologies: Pechino imposes new restrictions
Translation with ChatGPT
