According to CICC, a framework agreement has been established in Sino-US tariff negotiations, heralding a phased relaxation of rare earth export controls, with several enterprises already securing export licenses. China holds a dominant position in global rare earth supply and capacity, and the reduction in magnetic material exports has exposed overseas new energy vehicle enterprises to potential risks. Notably, China has only eased controls on civilian rare earth applications, suggesting that the rare earth magnetic material sector is poised to sustain its high valuation. Amidst overseas inventory replenishment demands, the anticipated resurgence in exports is expected to narrow the price gap between domestic and international markets, thereby facilitating profit recovery for magnetic material enterprises. Investors are advised to keep a close eye on associated investment opportunities.