China Bans Exports Of Gallium, Germanium, Antimony | Silicon UK

Beijing bans exports to US of key materials after Biden administration imposes more restrictions on Chinese chip sector

China has responded to the latest punishing ‘Export Controls’ announced by the Biden Administration’s US Commerce Department on Monday.

The new round of US semiconductor export restrictions are designed to hamper Beijing’s capacity to produce high-end chips. The restrictions include adding 140 companies to its ‘Entity List’; as well as new export controls on 24 types of manufacturing equipment; restrictions on three types of software tools used for developing semiconductors; and high-bandwidth memory chips.

But Beijing has responded and lashed out by banning the export to the United States of certain high-tech materials, which it claims have potential military applications.

Export ban to US

China’s Commerce Ministry said it would act to protect China’s “rights and interests”, after nearly all of the companies blacklisted by Washington’s latest trade restrictions are based in China.

That said, some of the companies are said to be Chinese-owned businesses in Japan, South Korea and Singapore.

The Associated Press reported that on Tuesday that Chinese Commerce Ministry announced it is banning exports to the United States of gallium, germanium, antimony and other key high-tech materials.

Beijing also reportedly announced on Tuesday that other materials that will be banned for export to the US include super-hard materials, which would include diamonds and other synthetic materials that are not compressible and extremely dense.

The AP reported that these materials are used in many industrial areas such as cutting tools, disc brakes and protective coatings.

2023 restrictions

It should be noted that in July 2023 China had abruptly ordered export restrictions on two elements (gallium and germanium) critical for manufacturing semiconductors and communications equipment, following US-led moves to prevent Beijing from advancing its own chip-making industry.

The July 2023 restrictions required Chinese exporters to apply for licenses to export to the US the strategically important materials.

Then in August 2023 China’s commerce ministry said that it would impose export limits on antimony and related elements in the name of national security. Antimony is used in a wide range of products from batteries to weapons.

China also imposed tighter controls on exports of graphite, as well as restrictions that covered smelting and separation technology and machinery and other items related to such super-hard materials.

Shortly after that a former Chinese commerce minister and trade policy adviser warned that Beijing’s retaliation was just a start in the dispute.

And in December 2023 China also banned the export of technology to make rare earth magnets.

Gallium, germanium, antimony

So what exactly are three minerals that China has banned for export to the US?

Gallium is a chemical element typically found in the form of a silvery metal that is used in semiconductors, electronics, solar panels, and LEDs.

Germanium meanwhile is used in the production of solid-state electronics, semiconductors, and fiber optic systems.

Antimony is listed as a mineral critical to US economic and national security by the US Department of Interior – a categorisation similar to rare earth elements cobalt, and uranium.

China accounted last year for 48 percent of global mined output of antimony.

The AP reported that US gets about half its supply of both gallium and germanium metals directly from China, citing the US Geological Survey.

China exported about 23 metric tons (25 tons) of gallium in 2022 and produces about 600 metric tons (660 tons) of germanium per year.

Antimony is also produced (in smaller quantities) in Russia and the former Soviet republic of Tajikistan.

Moscow is obviously no friend of the West, but Tajikistan has participated in a number of exercises with NATO and has previously worked with the defence organisation on a number of security matters.

It remains to be seen what the global impact of this latest tit-for-tat exchange will be.

The trade war between the US and China is unlikely to slow down anytime soon however, as President-elect Donald Trump has been threatening to sharply raise tariffs on imports from China and other countries.