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China has announced an immediate ban on exports to the United States of minerals that could have military applications, such as gallium, germanium, antimony and others, the Chinese Ministry of Commerce said on Tuesday. The move is a response to new restrictions imposed by Washington on China’s semiconductor sector, Reuters reports.
According to the Chinese directive, which comes into force immediately, exports of these materials to the United States will be banned “in principle”. Inspections of the end use of products, including graphite products, supplied to the United States will also be strengthened.
“We will act in accordance with the principles of protecting China’s national security and interests,” the Ministry of Commerce of China said.
Escalation of the US-China trade war
The new restrictions reinforce the existing measures on critical mineral exports introduced by Beijing last year. They are focused exclusively on the US and are another step in the escalation of trade tensions between the world’s two largest economies.
China’s restrictions were a response to the US decision announced a day earlier. Washington has introduced new rules to control the export of semiconductors and equipment for their production, arguing that it is necessary to limit China’s ability to develop military technologies.
The US Department of Commerce has also added 24 types of chip manufacturing equipment and three types of software to the list of technologies subject to strict control. The restrictions are aimed at hundreds of Chinese companies, which will no longer be able to purchase these technologies without special permission.
Geopolitical reaction
These measures could have a significant impact on the global high-tech market. Gallium, germanium and antimony are key elements for the production of semiconductors, lasers and fibre optic systems. In turn, the new US export rules may hamper China’s ability to provide itself with critical technologies used not only for civilian but also for military purposes.
Both sides are preparing for further actions in the global competition for control of strategic resources and technologies that will shape military and economic power in the 21st century.
