{"id":1963889,"date":"2023-07-04T07:45:02","date_gmt":"2023-07-04T11:45:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/beijing-jabs-in-us-china-tech-fight-with-chip-material-export-curbs\/"},"modified":"2023-07-04T07:48:21","modified_gmt":"2023-07-04T11:48:21","slug":"beijing-jabs-in-us-china-tech-fight-with-chip-material-export-curbs","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/beijing-jabs-in-us-china-tech-fight-with-chip-material-export-curbs\/","title":{"rendered":"Beijing restricts chip material exports in US-China tech battle."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbeijing-jabs-in-us-china-tech-fight-with-chip-material-export-curbs%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1963889&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<h2>China&#8217;s Export Restrictions on Metals Escalate Trade War<\/h2>\n<p>By Amy Lv and Brenda Goh<\/p>\n<p>BEIJING\/SHANGHAI (Reuters) \u2013 China\u2019s restriction of exports of some metals widely used in semiconductors, electric vehicles, and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/house-anti-china-bill-encourages-hiring-of-chinese-scientists\/\" title=\"House anti-China Bill Encourages Hiring of Chinese Scientists\">high-tech industries<\/a> has ramped up a trade war with the United States and could potentially cause more disruption to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/cdc-face-masks-dont-prevent-covid-19-study-finds-masks-have-negligible-impact-on-coronavirus-numbers\/\" title=\"CDC: Face masks don\u2019t prevent COVID-19, study finds masks have negligible impact on coronavirus numbers\">global supply chains<\/a>. <\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>China\u2019s commerce ministry said on Monday it would control exports of eight gallium products and six germanium products from Aug. 1 to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/is-federal-censorship-coming-biden-admin-creating-disinformation-governance-board-report\/\" title=\"Is Federal Censorship Coming? Biden Admin Creating \u2018Disinformation Governance Board\u2019: Report\">protect national security<\/a>, a move analysts saw as a response to escalating efforts by the United States to curb China\u2019s technological advances. <\/p>\n<p>Companies caught out by the abrupt news acted to secure supplies, with one U.S. semiconductor wafer manufacturer saying it was applying for export permits to assure investors, and a China-based germanium producer saying enquiries from buyers came in overnight as prices surged. <\/p>\n<blockquote><p>\u201cChina has hit the American trade restrictions where it hurts,\u201d said Peter Arkell, chairman of the Global Mining Association of China.<\/p><\/blockquote>\n<p>Jeffries analysts said the timing of the measure raised questions about it being possibly directed at this week\u2019s visit to Beijing by U.S. Secretary of Treasury Janet Yellen and whether Washington would cancel the trip. <\/p>\n<p>Some in the industry said they feared China could follow this with new restrictions on rare earth exports, after <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/beijing-jabs-in-us-china-tech-fight-with-chip-material-export-curbs\/\" title=\"Beijing restricts chip material exports in US-China tech battle.\">curbing shipments 12 years ago<\/a> in a dispute with Japan. Rare earths are a group of metals used in EVs and military equipment, and China is by far the world\u2019s biggest producer. <\/p>\n<blockquote><p>\u201cGallium and germanium are just a couple of the minor metals that are so important for the range of tech products and China is the dominant producer of most of these metals. It is a fantasy to suggest that another country can replace China in the short or even medium term,\u201d Arkell said.<\/p><\/blockquote>\n<p>China produces most of the world\u2019s gallium and germanium. In 2022, top importers of China\u2019s gallium products were Japan, Germany, and the Netherlands, news website Caixin said, citing customs data. Top importers of germanium products were Japan, France, Germany, and the U.S., it said. <\/p>\n<p>EXPORT PERMITS, DISRUPTION WORRIES <\/p>\n<p>U.S. semiconductor wafer maker AXT Inc, which has manufacturing facilities in China, said on Monday its Chinese subsidiary Tongmei would apply for permits to keep exporting gallium and germanium substrate products from China.<\/p>\n<p>\u201cWe are actively pursuing the necessary permits and are working to minimize any potential disruption to our customers,\u201d said AXT CEO Morris Young. <\/p>\n<p>A manager at a China-based germanium producer said his company had received several queries from buyers in Europe, Japan, and the U.S. hoping to stockpile product before the export controls take effect. The buyers were anticipating it could take as long as two months to obtain export permits. <\/p>\n<p>\u201cOffer prices in the domestic market and the export market have increased to 10,000 yuan ($1,380) per kg and over $1,500 per kg, respectively,\u201d he said. <\/p>\n<p>While the industry had expected to see some export controls for these metals, the timing had caught it by surprise, he said. <\/p>\n<p>Some downstream users with long-term sales contracts \u201care vexed about a possible jump in raw material prices, as it raises their production costs and may cause them losses,\u201d he said, declining to be named citing the sensitivity of the matter. <\/p>\n<p>Government officials in Taiwan and South Korea, however, downplayed any disruption from the curbs. <\/p>\n<p>Taiwan Economy Minister Wang Mei-hua said the short-term impact would not be large, but they would pay attention to how the situation may play out in the long term.<\/p>\n<p>South Korea\u2019s industry ministry said in a statement the country had sufficient stockpiles of gallium while there were other sources of germanium. <\/p>\n<p>Shares in some metal producers rose on Tuesday, with Yunnan Lincang Xinyuan Germanium Industry Co jumping 10% by the daily upper limit, and Yunnan Chihong Zinc &#038; Germanium Co climbing 7%. <\/p>\n<p>Shares of Australian rare earths producers also rallied as investors placed bets that more curbs could be imposed. Shares in Lynas Rare Earths, the world\u2019s largest producer of rare earths outside of China, rose 4%. <\/p>\n<p>ESCALATION RISK<\/p>\n<p>China\u2019s controls come as Washington mulls new restrictions on the shipment of high-tech microchips to China, following a series of curbs in recent years. <\/p>\n<p>The United States and the Netherlands are also expected to further restrict sales of chipmaking equipment to China\u2019s chipmakers this summer, part of efforts to prevent their technology from being used by China\u2019s military. <\/p>\n<p>Beijing last made a retaliatory move against U.S. pressure on chips in May, when it banned some domestic sectors from purchasing products from U.S. memory chipmaker Micron. <\/p>\n<p>Jefferies analysts said they saw the export controls as China\u2019s second and bigger countermeasure after the Micron ban. <\/p>\n<p>\u201cThe risk of a rapid escalation of U.S.-China tension is not small,\u201d they said. <\/p>\n<p>\u201cIf this action doesn\u2019t change the U.S.-China dynamics, more rare earth export controls should be expected.\u201d <\/p>\n<p>($1 = 7.2326 yuan)<\/p>\n<\/p>\n<p> (Reporting by Amy Lv in Beijing and Brenda Goh in Shanghai; Additional reporting by Siyi Liu in Beijing, Kentaro Sugiyama in Tokyo, Joyce Lee in Seoul, Ben Blanchard in Taipei, and Melanie Burton in Melbourne; Editing by Tom Hogue and Himani Sarkar)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/beijing-jabs-in-us-china\/attachment\/file-photo-illustration-picture-of-chinese-and-u-s-flags-with-6\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Joshua Coleman<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Ryan Helfenbein<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Tom Maoli<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with A.J. Hurley<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>(Reuters) -Elon Musk\u2019s Twitter has put a temporary limit on the number of tweets that users can see each day, a move\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>(Reuters) -Elon Musk\u2019s Twitter has put a temporary limit on the number of tweets that users can see each day, a move\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Martin Coulter (Reuters) -Meta Platforms plans to launch a Twitter-rivalling microblogging app called Threads, days after Twitter boss Elon Musk attracted\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Martin Coulter (Reuters) -Meta Platforms plans to launch a Twitter-rivalling microblogging app called Threads, days after Twitter boss Elon Musk attracted\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>China&#8217;s commerce ministry announced on Monday that it would regulate the export of certain metals crucial for semiconductors, electric vehicles, and high-tech industries. This move intensifies the trade war with the United States and poses a risk of further disruptions to global supply chains.<\/p>\n","protected":false},"author":66,"featured_media":1963890,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-1963889","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1963889","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1963889"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1963889\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1963890"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1963889"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1963889"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1963889"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}