China has stopped exporting gallium and germanium. What is the purpose of such restrictions and how will they affect?
China stops exporting two strategic materials
In the midst of the current 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 exports of some specific strategic minerals.
On the first day of August, controls on exports from China will come into force. The control will be applicable to a total of eight products related to gallium. These include gallium arsenide, gallium nitride, metallic gallium, gallium antimonide, gallium phosphide, and more.
The reasons why China bans gallium and germanium exports?
China has banned exports of gallium and germanium for the following reasons:
- Safeguard their national interests and security because these strategic materials are important for the development of advanced technologies in defense, electronics and renewable energy.
- As an attempt to retaliate against the United States and its allied nations that have placed restrictions and opted for other strategic actions to curb China’s access to semiconductors and chip manufacturing technologies.
- To send a warning message to the Biden administration that China is significantly smart about inputs for the semiconductor industry, the automotive industry and aerospace, and will be relentlessly willing to cause problems for US companies.
- As an attempt to gain more bargaining power in the global chip war and prove itself in the high-tech sector.
Consequences of restrictions on the export of gallium and germanium by China
China is a major producer of the two strategic materials. In this sense, export restrictions will have an important effect on the global supply of these two strategic materials.
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Categories: Optical Illusion
Source: ptivs2.edu.vn