China has announced a ban on the export of rare minerals critical to advanced technologies, escalating the ongoing tech war with the United States. The decision, unveiled Tuesday by the Chinese Ministry of Commerce, targets gallium, germanium, antimony, and other materials essential for semiconductor manufacturing, electric vehicles, and military applications.
The move is widely seen as a response to new U.S. export controls aimed at restricting China's access to advanced chip-making tools and software. The Biden administration announced the measures Monday, which also included adding more than 100 Chinese companies to a trade blacklist.
"China firmly opposes the U.S.'s overstretching the concept of national security," said Lin Jian, spokesperson for China's Foreign Ministry.He said China will take "resolute measures" to defend the interests of Chinese companies.
Gallium and germanium are indispensable in the production of semiconductors, solar panels, and telecommunications equipment. Antimony, another targeted material, plays a key role in flame retardants, night vision devices, and certain weapons systems. China dominates the global supply of these resources, controlling nearly all production of gallium and germanium and being a major producer of antimony.
The Chinese government justified the ban by citing national security concerns, mirroring the language used by Washington in its recent trade restrictions. The Commerce Ministry also announced stricter export reviews for graphite, a material vital for electric vehicle batteries.
The timing of the announcement, just a day after the U.S. unveiled its latest measures, underscores the intensifying economic rivalry between the two superpowers. While Washington aims to curb China's technological advancements, Beijing's latest action strikes at the heart of industries heavily reliant on these critical materials.
The U.S. restrictions are part of a broader strategy to maintain its competitive edge in emerging technologies while limiting China's ability to produce advanced chips with potential military applications. President Biden has emphasized the importance of securing supply chains and fostering domestic semiconductor production as a matter of national security.
In response, Chinese industry groups issued statements supporting the government's actions. The China Semiconductor Industry Association warned, "American chip products are no longer safe and reliable, and related Chinese industries will have to be cautious in purchasing American chips."
Beijing's move to restrict mineral exports follows earlier measures to tighten control over rare earth elements. In October, China began requiring exporters to provide detailed information on how these materials would be used in Western supply chains.
