This effectively makes all minerals the state's property and prevents commerce with other nations who specialize in heavy machinery or electronics including: USA, UK, EU, SK, and Japan.
Previously, Beijing already started enforcing a ban on exports of REE and related technology exports.
The new regulations include a strict database on REEs outlining when and where they were extracted all the way to where they're exported. The laws stipulate that "no organization or person may encroach on or destroy rare-earth resources."
A bit off topic about who is supposed to handle it, but tbh I don't expect trade relations can get any worse with China even as a result of them banning exports of these. Certainly isn't going to get better.