China’s export controls over three important metal and chip sectors are keeping shipments at historically low levels despite high prices in the global market as Beijing flexible their control over the mineral supply chain.
China is the world’s largest producer of antimony, germanium and gallium, who play niced but vital roles in clean energy, chip manufacturing and defense segments.
Since 2023, Beijing has gradually added metals to his export control list. In December,.
For any item from, exporters must request licenses, an uncommon process that allows Beijing to exercise the domain that has built for years on mining and processing of important minerals.
New customs data released on Sunday (20) reinforced a standard that has been forming since the controls were imposed: exports have fallen and some buyers, especially in Europe, were excluded from the supply chain.
Exports of antimony and germanium products in the first quarter fell 57% and 39%, respectively, compared to the previous year.
Galio exports in March have reached the lowest level since October 2023. Quarterly shipments have increased compared to last year, but the current trend is still well below 2022, the last full year before restrictions.
The minerals that are exported, in the case of antimony, are going to a smaller set of countries.
After a five -month hiatus, small antimony remittances were sent to Belgium and Germany in March, but exports were well below historical levels. Large and old buyers, such as the Netherlands, have not received remittances since September.
The pattern observed for the three metals raises questions about how many export licenses China will approve to the seven rare land elements that added to the control list this month – and how quickly.
Exporters say they predict a month -long wait for licenses and even more time selling to the United States.
There have been no antimony exports to the United States since September last year and none since 2023 to Germanio and Galio.
The reduction of exports in China has caused foreign consumers to strive to obtain the materials, raising prices, which in turn sustained prices in China.
