Australia requires government approval for Chinese investors selling rare earths holdings

Australia’s Treasurer Jim Chalmers has ordered six China-linked shareholders to dump their combined stake in Northern Minerals Ltd, a rare earths miner sitting on one of the most strategically important deposits outside of China. The directive, issued on national interest grounds, covers roughly 1.68 billion shares, or about 17.58% of the company. The divestment deadline was set for July 2, 2026. Three of the six entities failed to comply, prompting Chalmers to freeze their voting and shareholder rights by mid-July. This is the third time in as many years that Canberra has intervened to limit Chinese influence over this particular company. What’s at stake in the ground Northern Minerals operates the Browns Range project in Western Australia, one of the few significant sources of heavy rare earths outside China. The project produces dysprosium and terbium, two elements essential for permanent magnets used in electric vehicles, wind turbines, and defense systems. The entities targeted by the divestment order include Hong Kong Ying Tak Limited and Real International Resources Limited, among others. Australia’s Foreign Investment Review Board blocked the same group of shareholders from...