U.S. industry will soon feel the "squeeze" as China halts exports of rare earth minerals – key components in weapons systems, electric vehicles and consumer electronics – in direct retaliation for President Donald Trump’s sweeping 145% tariffs.

Shipments of magnets from China have ground to a halt, the New York Times reported on Sunday, as Beijing tightens export controls in a direct strike on U.S. manufacturing and defense supply chains. While the move is intended to pressure the White House, industry sources say its impact will be global, with exports halted to all foreign buyers, not just the United States.

National Economic Council Director Kevin Hassett acknowledged the growing alarm on Monday, telling reporters at the White House, "Rare earths are a part of lots of the economy. The rare earth limits are being studied very carefully, and they’re concerning, and we’re thinking about all the options right now."

After Trump’s tariff announcement, China hit back with its own 125% tariff on U.S. goods and imposed new export restrictions on seven rare earth materials. Exporters are now holding back shipments as they navigate a potentially lengthy licensing process. Overseas deliveries of magnets – vital for assembling cars, robotics and defense systems – came to a halt on April 4 as the new rules took effect.... Read More: FOX News