China bans exports of key minerals for microchip production to the U.S.

China's Ministry of Commerce has announced a ban on the export of key minerals essential for microchip production to the United States. The move comes in response to U.S. restrictions on the trade of semiconductor technologies with China.

The ban targets gallium, germanium, and antimony—critical materials in semiconductor manufacturing. Gallium and germanium are vital for the production of microchips, while antimony is also used in the manufacture of munitions.

In its statement, China cited national security concerns as a key reason for the export controls.

"In order to safeguard national security and interests and fulfill international obligations, including non-proliferation, it has been decided to strengthen the export control of relevant dual-use items to the United States," the Ministry of Commerce said.

China dominates global production of these minerals, accounting for 48% of antimony production, 59.2% of refined germanium output, and 98.8% of refined gallium as of 2023, according to Project Blue data.

The ban, which went into effect on December 3, 2024, will remain in place until further notice. This move follows the U.S. decision to restrict exports to 140 Chinese companies as part of ongoing trade tensions between the two countries.