China has stopped exporting gallium and germanium. What is the purpose of those restrictions and how will it impact?
China stops exporting two strategic materials
Amid the ongoing Cold War with the United States over access to critical technologies, China’s Ministry of Commerce has announced that it will exercise control over the export of certain strategic minerals.
On the first of August, export controls from China will take effect. This control will be applied to a total of eight gallium-related products. These include gallium arsenide, gallium nitride, gallium metal, gallium antimonide, gallium phosphide, etc.
Why does China ban the export of gallium and germanium?
China has banned the export of gallium and germanium for the following reasons:
- To protect national interests and security because these strategic materials are important for developing advanced technologies in defense, electronics and renewable energy.
- As a retaliation effort the United States and allied nations have introduced restrictions and have chosen other strategic actions aimed at denying China access to semiconductor and chip manufacturing technologies.
- To send a warning message to the Biden administration that China is extremely smart in input issues for the semiconductor industry, auto industry and aerospace, and will constantly cause trouble for companies in the United States.
- As an effort to gain more bargaining power in the global chip war and prove its mettle in the high-tech sector.
Consequences of China restricting Gallium and Germanium exports
China is an important producer of these two strategic materials. In this sense, export restrictions will have an important impact on the global supply of these two strategic materials.
: What are the thirty important minerals identified by the Center? Know everything about the report “Important Minerals of India”
Categories: Optical Illusion
Source: pagasa.edu.vn