China is to impose restrictions on exporting two metals used to make semiconductors and other electronics, a move that is likely to raise costs for hardware manufacturers and worsen geopolitical tensions over the race to develop advanced computing technology.
Gallium and germanium, along with their chemical compounds, would be subject to export controls starting Aug. 1, the Chinese Ministry of Commerce said in a statement yesterday.
Introducing the measures would serve national security and China’s national interest, the statement said.
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China is the leading producer of 20 critical raw materials, including gallium and germanium, as measured by its share of global mining. It is also dominant in refined production and processing.
The two metals are used in a wide range of products such as solar panels, lasers, night-vision goggles and computer chips.
Exporters for the two metals would need to apply for licenses from the commerce ministry if they want to start or continue to ship them out of the country, the statement said.
The firms are required to report details of the overseas buyers and their applications, and reviews might be escalated to the Chinese State Council if needed.
The measure is the latest development in a global battle to control technologies vital to industrial and military capabilities, and could be seen as an escalation of the worsening relationship between China and strategic rivals such as the US.
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