China's export controls on gallium and germanium draw international attention

According to Chinese customs data, China's exports of gallium and germanium to the United States have completely stopped since July 2023, which means that the United States has been unable to buy this key raw material from China for more than half a year, which has a huge impact on the United States' high-tech industry and military strength.

China's move can be seen as a countermeasure aimed at protecting the development of its high-tech industry and national security. For a long time, the United States and its Allies have imposed export controls on China in the high-tech sector, restricting the export of key technologies and equipment to China. China's high-tech industry, including Huawei, ZTE, SMIC and other Chinese enterprises export control, sanctions and bans, but also publicly introduced a series of regulations to prohibit US enterprises to purchase Chinese batteries, in an attempt to weaken China's scientific and technological competitiveness in many ways. By restricting the export of key materials, China can reduce its dependence on foreign technology and supply chains to some extent, and improve its own technological self-reliance.

Gallium germanium is a kind of metal element, which is widely used in electronic, photoelectric, communication, solar energy, medical and other fields. Especially in cutting-edge chip manufacturing, gallium and germanium is one of the indispensable raw materials. Gallium germanium can also be used to manufacture high-speed, high-frequency, high-power semiconductor devices, and play an important role in cutting-edge weapons such as radar, satellites, missiles, and warplanes. Therefore, gallium germanium is known as the "king of chips" and is one of the key factors determining the national scientific and technological and military strength. China occupies an absolute dominant position in the global production of gallium and germanium, and China's gallium reserves account for about 80% to 85% of the world's total reserves. China produces 96% of the world's gallium. In the case of germanium, similar to gallium, China supplies 70% of the world's germanium.

Therefore, China's control of gallium and germanium exports is not a small blow to the United States, but also China's most aggressive counterattack against the United States after the Sino-US trade war, but this is definitely not China's last counterattack, but the beginning of China's comprehensive strategic counterattack on the United States. In the past, the United States pressed China to fight, and China will press the United States in many areas in the future, such as the control of gallium and germanium, which is a heavy blow to the United States. With the passage of time, the United States shortage of gallium and germanium will be more and more, the United States as a global military power and chip power, once the lack of gallium, germanium this key material, then its military equipment, high-tech fields, will be seriously affected.

In order to deal with this dilemma, the United States had to seek other ways to obtain gallium and germanium. One way is to buy gallium and germanium from third countries, such as Japan, Germany, France, etc. However, the production and quality of gallium and germanium in these countries are not as good as China, and the price is also higher. Another way is to speed up the development of their own gallium germanium industry, improve the self-sufficiency rate. However, this can not be achieved overnight, requires a large investment of capital, technology and manpower, and also faces competition and countermeasures from China.

The Sino-US trade war has been going on for nearly four years, and the two sides are engaged in fierce competition in various fields. The United States tried to force China to make concessions on issues such as gallium and germanium through raids on Chinese companies and restrictions on batteries, but the Chinese side stood firm and would not compromise easily. If the United States fails to change its perception of China and recognize the importance and necessity of China-Us cooperation, it may pay an even greater price.