TOKYO - Japan’s ambitions to become a rare earth powerhouse are gaining attention as China tightens its grip on global supply chains. Despite a mid-June agreement between the U.S. and China, rare earth supplies remain constrained, and Japan’s enterprises—alongside global manufacturers—continue to face uncertainty.
China's decision to restrict the export of seven key rare earth elements in April has been widely viewed as a geopolitical move to exert leverage in negotiations, particularly against the United States. While Chinese authorities claim export applications are still accepted, the high bar for approval has effectively choked off supply. The affected elements, including dysprosium and terbium used in high-performance magnets, are essential to electric vehicles (EVs), wind turbines, and advanced defense systems.
According to Tomoji Ohara of the Sasakawa Peace Foundation, China’s strategy is clear: by controlling rare earths, it maintains leverage over countries like the U.S. and its allies. “This is not about whether China can extract the resources—it's about who they let access them,” he said.
The impact is already visible. American automakers have reported production delays due to material shortages, while Japanese companies face canceled deals because of newly imposed documentation requirements by Chinese exporters.
Yet Japan may have a solution beneath its own waters. A Japanese research team led by University of Tokyo Professor Kentaro Nakamura discovered in 2012 that the seabed around Minamitorishima, Japan’s easternmost island, contains mud rich in rare earth elements—potentially hundreds of years’ worth of global demand. Initial surveys show that this deep-sea mud contains all seven of the rare earths currently under Chinese export control, and in far higher concentrations than land-based sources.
“Even a small section of the Minamitorishima area contains over 16 million tons of rare earth-rich mud,” said Nakamura. “If the entire Exclusive Economic Zone is surveyed, Japan could possess the world’s largest reserves.”
Still, the technological and financial hurdles are significant. Extracting resources from 6,000 meters below the ocean surface is no simple task. Japan has already tested systems capable of collecting seabed mud at 2,000 meters, and this fiscal year, it plans to attempt a 6,000-meter test near Minamitorishima. A consortium involving government agencies and engineering firms such as Toyo Engineering is developing specialized equipment to stir and pump the high-viscosity mud to the surface.
Unlike China’s land-based deposits, which are associated with radioactive elements such as thorium, Japan’s seabed mud is free of harmful byproducts. This gives Japan a significant environmental advantage, as it can extract and refine rare earths domestically without the complications posed by radiation regulations.
China’s interest in the region is intensifying. Two of its aircraft carriers were recently spotted sailing near Minamitorishima within Japan’s EEZ. Satellite and maritime tracking reveal that China is actively surveying the seafloor in nearby areas and has already obtained exploration rights for polymetallic nodules from international bodies.
Chinese state media continues to question Japan’s sovereignty over remote islands like Minamitorishima, suggesting that Japan may not have full rights to exploit resources within its surrounding waters. If China begins large-scale deep-sea mining, it could challenge Japan not only economically, but also geopolitically.
Yutaka Yoshitake, editor of Rare Metal Weekly, warned that Japan’s delay in resource development could allow China to establish dominance in deep-sea extraction as well. “If China proves its capability first, it will set the international precedent,” he said.
Nakamura emphasized that Japan must act now while it still has technical and industrial capacity. “The entire value chain still exists in Japan—from extraction to magnet production to end-use industries. This is a rare opportunity.”
For now, Japan faces a critical choice: whether to continue evaluating the economic viability of deep-sea mining or to treat it as a strategic national project worth subsidizing. Experts stress that without strong state backing, private companies are unlikely to shoulder the cost and risk of developing such unprecedented technologies.
The stakes are high. Rare earths are not only essential to next-generation EVs and renewable energy but are also crucial to military and aerospace technologies.
Source: TBS
