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Seoul and Beijing Forge 'Hotline' to Stabilize Rare Earth Supply Chains
Abstract：South Korea and China establish a direct communication hotline to secure rare earth supply chains, a move expected to stabilize critical tech manufacturing inputs and support regional trade sentiment.
South Korea is establishing a direct hotline with Beijing to stabilize imports of critical raw materials, ensuring a reliable flow for the semiconductor and electric vehicle sectors.
Supply Chain Security
Seoul intends to mitigate risks from export curbs originating from China, currently the dominant global supplier of rare earths.
- Currency Impact: Favors the KRW and CNY by reducing risk premiums.
- Trade Dynamics: Addresses potential logistical bottlenecks in Asian manufacturing hubs.
- Market Outlook: Reduces immediate volatility for the Korean Won and Chinese Yuan.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
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