Battery Export Controls Give China a New Edge in US Trade Talks

China’s newly announced raft of restrictions on the export of batteries could have major impacts on US companies, analysts say.

Beijing has previously used rare earths as a tool in the trade war with Washington. But with its commanding position in the battery industry, China has identified another point of leverage in trade talks as the US increasingly needs energy storage to support data centers and stabilize the grid.

The restrictions, which take effect Nov. 8, span a wide swath of the battery supply chain. They include large-scale lithium-ion batteries used for energy storage as well as cathode and ...