Yttrium Shortages Threaten U.S. Jet Engine Production

Suppliers to major U.S. aerospace firms are grappling with deepening shortages of yttrium, a niche rare earth element essential for preventing jet engines from melting under extreme operational heat. Despite a brief easing of trade tensions between Washington and Beijing last fall, Chinese export controls implemented in April have slashed shipments to the United States, driving yttrium prices up 60% in recent months-now nearly 70 times higher than a year ago. Two North American coatings manufacturers have halted production entirely, with one prioritizing engine makers like Boeing and Airbus while rejecting smaller clients, and another ceasing sales of yttrium oxide products after depleting stocks.

Yttrium's role in aerospace cannot be overstated: it forms specialized thermal barrier coatings that allow turbine blades in jet engines and industrial turbines to withstand temperatures exceeding 1,200°C without deforming or failing. Without these coatings, engines simply cannot operate safely, risking catastrophic failures mid-flight. Aerospace suppliers describe the situation as precarious, especially as demand surges for spare parts and new aircraft amid booming air travel recovery. Production lines for critical components have not yet stopped, but executives warn that prolonged rationing could soon disrupt deliveries from planemakers facing their own backlogs.

China's dominance in yttrium production-controlling over 90% of global supply-amplifies the crisis, turning a low-volume mineral into a high-stakes geopolitical weapon. Beijing's licensing regime now requires end-user declarations, slowing approvals and creating uncertainty just weeks before a pivotal Trump-Xi summit in March. U.S. firms have turned to third-country sourcing, but stockpiles are measured in months, not years, with no domestic production online. This vulnerability extends beyond engines to avionics and satellites, where similar rare earth dependencies loom, underscoring the need for rapid supply chain diversification to safeguard national security and industrial competitiveness.