EU, China to hold 'urgent' talks on rare earth curbs

EU and Chinese officials have agreed to meet in Brussels for "urgent" talks on China's export controls on rare earths, EU trade chief Maros Sefcovic said after speaking to his Chinese counterpart Tuesday.

The world's leading producer of the minerals used to make magnets crucial to the auto, electronics and defence industries, China this month announced new controls on the export of rare-earth technologies.

"I appreciate today's constructive discussion during which we agreed to intensify contacts at all levels," Sefcovic said after a video call with China's Wang Wentao that lasted nearly two hours.

"I invited the Chinese authorities to come to Brussels in the coming days to find urgent solutions. Minister Wang Wentao has accepted this invitation," Sefcovic told reporters in the European Parliament in Strasbourg, France.

The European Union says the Chinese restrictions have forced some of the bloc's companies to halt production and inflicted economic harm.

Sefcovic has called the export controls "unjustified and harmful".

Brussels has been coordinating with G7 partners on a response to China's curbs but Sefcovic said the EU had "no interest in escalation".

"However this situation cast a shadow over our relationship. Therefore, a prompt resolution is essential," Sefcovic said.