China trails US, Japan in key patents for advanced rare earth technologies

The study, conducted by researchers at the University of Science and Technology of China and recently published in the Bulletin of the Chinese Academy of Sciences, said China's rare earth industry has a critical weakness despite its dominance across the global supply chain.

"China is not in a leading position in mastering key core technologies in certain fields," the researchers wrote, as quoted by the South China Morning Post.

The findings come as China has tightened controls over rare earth exports while maintaining its dominant position in the global market. The country supplies about 90% of the world's light rare earths and refines more than 98% of heavy rare earths, which are used in magnets, artificial intelligence chips, lasers and other advanced technologies, The New York Times reported.

Mining carts filled with various minerals. Illustration from Pexels

Rather than examining resource reserves or production capacity, the study analyzed technologies used to manufacture high-end rare earth functional materials. It found that key patents for these advanced materials remain largely controlled by Japan and the U.S.

The study focused on advanced rare earth materials used in products such as powerful magnets, catalysts, lighting materials and polishing compounds. Together, these account for more than 80% of rare earth-related patents worldwide and generate much of the industry's commercial value.

In permanent magnet technology, which is widely used in electric vehicles, wind turbines and electronics, Japan held the strongest overall position.

China led only in several alloy-related technologies while trailing Japan and the U.S. in most other key manufacturing technologies.

The gap was even larger in catalysts, where the U.S. led nearly all core technologies and China showed no clear advantage over other major competitors.

A similar trend was found in luminescent materials, which are used in products such as LED lighting and display screens. The U.S. remained ahead in most core technologies, while China held an advantage in only a limited number of specialized materials.

In polishing materials, which are essential for manufacturing semiconductors and other precision products, the U.S. also ranked ahead in most critical technologies. China remained competitive in only a few areas but continued to trail in many key manufacturing processes.

The study concluded that dominance in rare earth resources does not automatically translate into leadership in the high-value technologies that depend on them.

The researchers said China's technological gap stems from a shortage of high-value international patents and weak commercialization of research, urging stronger collaboration between universities and industry to accelerate innovation.