China and the US have agreed to suspend newly imposed trade restrictions for one year, easing tensions over critical mineral exports, reports Caixin.

The agreement followed the meeting between Chinese leader Xi Jinping and US President Donald Trump in Busan. Both sides confirmed a temporary halt to measures including Washington's "50 per cent ownership rule" and Beijing's curbs on rare earths, lithium battery components and graphite.

The truce averts immediate disruption to global supply chains but underscores the strategic importance of rare earths and other minerals. These materials are essential for military equipment, wind turbines, electric vehicles and smartphones.

The US is accelerating efforts to build alternative supply chains with Asian partners, while China continues to consolidate control over upstream production and related technologies.

The one-year pause offers breathing room, but also highlights how minerals once seen as industrial inputs have become tools of geopolitical influence.