China bans key mineral exports to US amid trade tensions

• Published On: 03 December 2024 at 20:32

China has prohibited exports of materials containing gallium, germanium, and antimony to the United States, citing potential military applications.

The announcement came on Tuesday, one day after the latest US crackdown on China's chip industry.

According to Reuters, Beijing's new directive, which goes into effect immediately, restricts exports of dual-use items with both military and civilian applications due to national security concerns.

It also requires stricter end-use reviews for graphite products shipped to the United States.

"In principle, the export of gallium, germanium, antimony, and superhard materials to the United States shall not be permitted," according to the minister.

The new restrictions build on Beijing's existing limits on critical mineral exports imposed last year, but they only apply to the United States.

This escalation in trade tensions occurs ahead of President-elect Donald Trump's inauguration.

According to Chinese customs data, no wrought or unwrought germanium or gallium have been shipped to the United States this year as of October, despite the fact that the United States was the fourth and fifth-largest market for these minerals last year.

Gallium and germanium are used in semiconductors, while germanium also finds use in infrared technology, fibre optic cables, and solar cells.