China hit back on Tuesday after the Biden administration imposed its latest export ban on its chip industry companies.
Beijing’s Ministry of Commerce announced an immediate halt to exports to the United States of gallium, germanium, antimony and superhard materials, as well as elements used in the technology industry and ammunition.
The Commerce Department issued the order in a notice on Tuesday, a day after Washington expanded its crackdown on China’s semiconductor industry for the third time in three years. Restrictions on exports to 140 companiesincluding chip equipment manufacturer Northern Huachuang Technology Group.
See also: China’s chip industry faces third wave of U.S. export restrictions
The directive also requires stricter scrutiny of the end-use of graphite “dual-use items” shipped to the United States on the grounds of safeguarding national security and interests.
Restrictive measures strengthen law enforcement Existing restrictions Exports of key minerals announced by Beijing early last year.
But they apply particularly to the United States, where trade tensions between the world’s two largest economies have been escalating recently ahead of President-elect Donald Trump’s inauguration on January 20.
“In principle, exports of gallium, germanium, antimony and superhard materials to the United States are not allowed,” the ministry said.
Experts warned in August that China would tighten export controls on key minerals needed for chip manufacturing Could ultimately trigger a global semiconductor shortage.
Since last year, Beijing has sharply cut exports of gallium and germanium, two metals critical to the production of high-speed computer chips.
China dominates the supply of both metals, accounting for at least 60% of global germanium production and nearly 90% of global gallium production.
- Reuters Additional input and editing by Jim Pollard