China in the crosshairs: The mineral that Donald Trump is banning for export

The US Department of Commerce announced yesterday (Thursday) that it will block the export of tungsten residues and battery waste, as part of an effort to encourage the local recycling industry and the output of critical minerals. The move, which was expected in the industry, comes after President Donald Trump signed an order last week that gives federal officials the authority to restrict outgoing shipments of waste containing critical minerals to China and other countries.

The order prohibits the export of what is known as "black mass," which actually contains shredded lithium batteries, as well as waste containing tungsten — a mineral used to strengthen steel and utilized primarily for military purposes. The order is part of a broad American effort to reduce the US's dependence on China, which currently controls the global production of critical minerals used to manufacture a variety of products, from batteries for electric vehicles to military defense systems.

Washington is increasingly using export controls, tariffs, and domestic incentives in an attempt to rebuild local supply chains, against the backdrop of escalating tension with Beijing over access to minerals. The order will take effect on August 27 and will be valid for one year, the Department of Commerce said.

"It is great to see the administration recognizing the importance of recycling critical materials from waste," said Zubeida Oysal of the Washington-based think tank SAFE.

Exemptions on the matter may be granted on a case-by-case basis if a company proves "undue hardship" or "irreparable harm," the order states. The US exports about 33,000 tons of electronic and other waste each month, which contains large amounts of critical materials that can be recycled.

Amermin, a privately owned tungsten recycling company, welcomed the move but said more must be done to increase the US's ability to recycle waste.

"This ban is a band-aid. It buys us more time, but we must start building the infrastructure here at home," said Ryan McAdams, CEO of Amermin.