China did what it promised.  Exports of two key minerals cut to zero

China did what it promised. Exports of two key minerals cut to zero

No amounts of gallium and germanium left China in August. These are minerals important in new technology industries, used for the production of, among others, semiconductors.

In July, China exported 8.63 tons of germanium, twice as much as the month before. This was expected, because Beijing announced that it would ban the shipment of germanium abroad. At the beginning of August, this decision came into full force. And germanium exports amounted to: zero. It was similar in the case of gallium – in July, 5.15 tons of this mineral were sent from China to other countries, and in August, absolutely nothing – he said, citing official data.

China. A ban on the export of two important minerals has entered into force. Exports dropped to zero

The restrictions apply to exactly eight gallium and six germanium products. Exporters of products containing these minerals must now apply for an export authorization for dual-use products and technologies. This term refers to goods that can be used for both civilian and potentially military purposes.

Under the new regulations, exporters of products containing germanium and gallium must now obtain a permit to export dual-use products and technologies, i.e. those that have potential military and civilian applications.

Although gallium and germanium occur naturally and are quite common, they are in small quantities and are obtained for industrial use as by-products of refining other metals. China is a global powerhouse in the supply of gallium and germanium, providing approximately 80 percent. world production of gallium and 60 percent germanium production.

Germanium is used in technologies related to solar energy (solar panels), optical fibers and night vision devices. Gallium, in turn, is used in the production of chips for mobile phones and satellite communications, LEDs and semiconductors. It is no secret that the competition regarding new technologies has been intensifying between China and the US (and several of their allies) for a long time. Last year, the Americans introduced restrictions on the export of chips, semiconductors and equipment for their production, and encouraged their allies (such as Japan and the Netherlands) to take similar actions. Beijing’s move was seen as retaliation.

Read also more about critical raw materials in the article “The time of new oil and new gold is coming. ‘The war of the future will be a war for critical raw materials'”

Source: Gazeta

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