Chinese officials are demanding sensitive information from companies, including production details and a list of customers, for rare earths and magnets export licenses, the Financial Times reported Thursday.

Western companies are flagging the potential misuse of data and the revelation of trade secrets in the approval process, the report said.

"It's a matter of [China] getting information . . . officially" rather than "trying to steal it," the Financial Times quoted German magnet maker Magnosphere's Chief Executive Officerf Frank Eckard as saying.

Rare earths and magnets are widely used in electronics, electric vehicle motors, wind turbines, and even fighter jets, the Financial Times said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)