China Responds to U.S. Trade War by Limiting Metal Exports
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December 3, 2024 Hour: 11:06 am
Chinese authorities banned the export of metals such as gallium, germanium, antimony, and graphites.
On Tuesday, China announced that it will ban the export of key metals to the United States with potential military applications in response to the latest restrictions imposed by Washington to curb the Asian giant’s ability to develop advanced microchips.
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U.S. Imposes New Restrictions on Chinese Microchips
Washington surprised observers on Monday by expanding the list of Chinese companies subject to export controls on chip manufacturing equipment, marking the third major package of restrictions announced by President Joe Biden’s administration in the past three years.
As with previous measures, the goal was to limit China’s access to the world’s most advanced microchips, which are essential for developing military artificial intelligence and other applications.
U.S. Commerce Secretary Gina Raimondo described the measures as “the most stringent controls ever implemented by the United States to degrade China’s ability to manufacture the most advanced chips used in its military modernization.”
In recent years, the Biden administration has maintained that U.S. security could be jeopardized if China succeeds in producing these extremely advanced chips, which are critical for operating artificial intelligence systems and supercomputers that can be used in cyberattacks, weapons design, and surveillance systems.
China’s Response and Accusations
China’s Ministry of Commerce condemned the U.S. decision as an “act of economic coercion,” accusing Washington of “expanding its far-reaching jurisdiction to interfere in trade between China and third countries,” which it described as a “market-contrary practice.”
The China Semiconductor Industry Association stated that the restrictions “undermine the global semiconductor industry’s consensus on equality, rationality, and non-discrimination, as well as the goals of the World Trade Organization.”
“The measures harm global semiconductor professionals’ efforts to cooperate. Additionally, it represents an arbitrary modification of trade rules, causing substantial damage to the security and stability of the global semiconductor supply chain,” the association added.
Key Metals for Semiconductors and Batteries
China’s Ministry of Commerce also accused Washington of “saying one thing and doing another,” alleging that the U.S. is “constantly broadening the concept of national security, abusing export control measures, and engaging in unilateral harassment.”
“China opposes this,” the ministry’s statement declared, warning that it would take “necessary measures to protect its legitimate rights and interests.”
Hours later, Chinese authorities announced a ban on exports to the U.S. of certain metals categorized as “dual-use” — products or materials with both civilian and military applications — that could potentially have military uses. These include gallium, germanium, antimony, and graphite, which are key for manufacturing semiconductors and batteries, among other applications.
The ministry stated that the measure, effective immediately, was implemented “to protect China’s security and interests” and to “comply with international obligations, such as non-proliferation.”
“Any organization or individual from any country or region that violates these provisions and transfers or provides dual-use items originating from the People’s Republic of China to organizations or individuals in the United States will be held accountable under the law,” the ministry warned.
Previous Export Restrictions
In July, China, which accounts for more than 95 percent of global gallium production and 67 percent of germanium production, had already announced general restrictions on the export of both elements.
A month later, China stated it would impose limitations on antimony exports, a metal used in various industrial sectors, including battery manufacturing.
In October, the Asian nation implemented adjustments to its export control policies related to graphite products, citing “national security” concerns.
teleSUR/ JF Source: EFE
