Photo: Associated Press
In what should be a warning sign to Western importers, China has allowed rare earth metal exports to Japan to resume, just days after resolving their dispute over the captured fisherman, according to The Japan Times.The concern now is that, if reports from traders are correct, China is clearly willing to put political issue over economic. The Senkaku Islands, or Diaoyu Islands in Chinese, are disputed territory and that’s where the Japanese captured the now released fishing captain.
Here’s everything you need to know about current dispute between China and Japan >
It would seem China used its economic might to push Japan to release the captain.
Rare earth metals might not seem like a big deal, but they are used in the production of high-tech electronics, vital to the manufacturing sectors of almost every Western state.
With the U.S. House of Representatives likely to pass a bill today that would open up the possibility of more tariffs against China, we now know one tool they may be willing to reply with.