China Bars US Access To Important Minerals

China’s recent decision to block exports of antimony, germanium, and gallium could have far-reaching consequences for global industries and the United States in particular.

At a Glance

China restricts export of key metals affecting global supply.
Antimony is vital to U.S. defense; global tensions intensify.
U.S. and EU seek alternative sources to reduce reliance.
Antimony prices surge amid geopolitical strains.

China’s Strategic Metal Control

This week, China announced its decision to ban the exports of minerals like gallium, germanium, and antimony to the U.S. These types of materials have important military applications, and the move comes following the U.S.’s crackdown on China’s chip-making industry.

China’s control over antimony reserves is significant. The metal is critical for U.S. defense, used in munitions and other military applications. China’s recent decision to implement an export ban impacts the global supply, despite the metal’s crucial role during WWII. The U.S. once led in antimony supply but now depends heavily on imports. This strategic move highlights China’s grip on essential resources.

China’s dominance isn’t new but raises significant concern given the current geopolitical climate. It mirrors their historical actions but now includes Germanium and Gallium. The ban further stresses an already tense relationship with nations reliant on these metals for high-tech industries, thereby escalating the urgency for alternative sourcing.

China bans exports to US of gallium, germanium, antimony in response to chip sanctions https://t.co/vQYY859SMB pic.twitter.com/FLnjHOJ7AE

— ABC7 News (@abc7newsbayarea) December 3, 2024

Impact on the West

The U.S. military’s demand for antimony, driven by increased artillery shell production, heightens the impact of China’s export controls. Military Metals Corp. is responding by acquiring historical reserves in Canada and Slovakia, emphasizing the pressing need for diversified sources. Failure to secure alternative supplies could constrain U.S. military capabilities.

The European Union acknowledges antimony’s strategic importance, boosting ammunition production funding. This proactive step underscores the broader convergence of military preparation with economic resilience amidst global contention.

Economic and Geopolitical Repercussions

China’s export restrictions have caused antimony prices to surge by over 200%, with further increases anticipated by 2025. This economic disruption pressures industries reliant on these metals to innovate and adapt. As tensions between the U.S. and China grow, securing supply chains for critical metals becomes paramount.