China to tighten export curbs on critical metals ahead of Trump's returnTungsten, magnesium and aluminum alloys face more restrictionshttps://asia.nikkei.com/Spotlight/Supply-Chain/China-to-tighten-export-curbs-on-critical-metals-ahead-of-Trump-s-return Tighter Chinese export controls covering so-called dual-use items take effect on Dec. 1.
TAIPEI -- China plans to tighten export controls on key "dual-use" technologies and items in two weeks, including raw materials and metals such as tungsten, graphite, magnesium and aluminum alloys used commonly in tech supply chains.China's Commerce Ministry unveiled detailed specifications of dual-use technologies and items -- used for both civilian and military purposes -- that will fall under the country's export controls. The rules take effect on Dec. 1.
The move comes right after former U.S. President Donald Trump's victory in the presidential election.Materials such as graphite, aluminum alloys and titanium alloys that are widely used in making electronics products are on the list and will be under export controls if their specifications meet China's new rules. The new controls also include tungsten and magnesium alloys that meet certain specifications.For example, exporters of aluminum alloys with extreme elasticity and an outer diameter larger than 75 millimeters will have to apply for an export license from the Commerce Ministry, the official dual-use list showed.
China controls more than 80% of the extraction and processing of global tungsten supply, along with around 90% of global magnesium production, according to a European Union estimate on global critical materials supplies.All of these critical metals not only are used widely in the electronics supply chain, but also are indispensable to build defense equipment, weapons, aviation and spacecraft.The export control list also covers certain testing and production equipment, such as analog-to-digital converters that can operate in temperatures ranging from 125 C down to minus 54 C, and lithium isotope separation facility and production equipment.
Taiwan Semiconductor Manufacturing Co., the world's biggest contract chipmaker, recently notified some Chinese AI and graphics processing units clients to put on hold production for their 7-nanometer chips. The Taiwanese chipmaker is strengthening scrutiny to avoid running afoul of Washington's stringent export controls against blacklisted Chinese companies, such as Huawei Technologies.
China has been tightening export controls on critical materials such as gallium, germanium, rare earths and antimony as countermoves to battle sweeping U.S. export controls on advanced semiconductor and artificial intelligence technologies.
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