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China reacted harshly to the new US sanctions

news.online.ua
Tue, 03 Dec 2024 19:12:05 +0200
China reacted harshly to the new US sanctions

China and the US have already started a trade war

The Chinese government has imposed a blanket ban on the sale of critical minerals, including gallium, germanium, and antimony, to the United States.

Although existing restrictions on these materials have been in place since last year, the updated measures significantly tighten export controls.

In addition, China has strengthened the supervision of graphite exports.

The Ministry of Commerce emphasized that "in principle, the export of gallium, germanium, antimony and superhard materials to the United States will not be allowed."

What are the consequences of China's restrictions?

Exports of germanium and gallium from China to the US were suspended earlier this year.

In 2022, the US was the fourth and fifth largest market for these materials, respectively. The latest data indicate a sharp reduction in Chinese antimony exports, which have fallen by 97% since September. The impact on the market has been significant: since the beginning of 2024, antimony prices have tripled.

The ban is expected to disrupt US industries that depend on these materials, including the semiconductor and electronics industries.

The move could force countries to ramp up domestic production or seek alternative suppliers to cushion the shock of supply chain disruptions.

What is known about the critical importance of these materials in the field of high-tech production

Gallium and Germanium : Both materials are vital to semiconductor manufacturing, and germanium is also used in night vision devices, fiber optic cables, and solar panels.

Antimony : Necessary for liquid crystal display production, solder, and other applications, including potential military use.

China dominates the supply of these minerals among all other countries in the world.

In 2023, the country accounted for 98.8% of purified gallium and 59.2% of purified germanium in the world.

Last year, China accounted for 48% of world antimony production.

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