BEIJING: Due to national security concerns, China has announced it would restrict exports of rare metals used to manufacture semiconductors.
The Ministry of Commerce and Customs China said that Chinese exporters would need the approval to send certain gallium and germanium products overseas from August 1 to “preserve security and national interests.”
The statement comes as the United States is reportedly considering the latest curbs on exporting new chips to China.
Gallium, designated a critical raw material by the EU, is used in the production of integrated circuits, photovoltaic panels for solar panels, and LEDs.
Germanium is used to make advanced optical fibers and infrared camera lenses. According to the European Commission, China accounts for about 80% of the international production of rare metals.
US China rivalry
The United States and China have been engaged in a heated geopolitical rivalry in current years that has seen the two sides impose tit-for-tat measures on semiconductors and other key tech sectors.
The United States has blocklisted scores of Chinese firms to deprive them of access to American chips and other cutting-edge advanced technologies that it said could be used to undermine United States’ national security.
The United States has pushed allied, and partner countries to impose restrictions on the Chinese tech industry, with the Netherlands set to introduce new export curbs aimed at China later this year.
China has accused the United States of seeking to throttle Chinese innovation to maintain US supremacy in the tech industry.
