INDUSTRY BRIEF: China bans export of three critical minerals to U.S.

China announced on Tuesday that it was banning exports to the U.S. of gallium, germanium and antimony, key minerals with high-tech and military applications, and said it would also apply stricter scrutiny to U.S.-bound shipments of graphite. It made the move after the U.S. government upgraded its controls on American semiconductor exports to China.

Reuters reportedthat China has been targeting exports of key minerals to the U.S. since last year, and this action increases such controls. The U.S. is China’s fourth- and fifth-largest export market for germanium and gallium, but customs data show that China has not exported germanium or gallium to the U.S. this year. Gallium and germanium are commonly used in semiconductors, while germanium is also used in infrared technology, fiber-optic cables and solar cells.

China mined about 48% of the world’s antimony last year, which is used in ammunition, infrared missiles, nuclear weapons and night-vision goggles, as well as batteries and photovoltaic equipment. Prices of antimony trioxide in Rotterdam have soared by 228% this year. Graphite is the main ingredient used in electric vehicle batteries.

Bloomberg cited a U.S. Geological Survey report last month that China’s ban on gallium and germanium exports would cause a $3.4 billion hit to the U.S. economy.

By Lee Shih Ta

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