Inspenet, July 09, 2023.
One of China’s responses to US technology measures and restrictions has been to limit gallium and germanium exports from August 1 , Bloomberg reports. These two metals are of great importance in the semiconductor industry, electronics, telecommunications, and electric vehicles.
Gallium is used especially in the manufacture of microchips and semiconductors, but it also has a prominent role in the production of photovoltaic cells. On the other hand, germanium is used in fiber optic and infrared solutions, solar cells for satellites and as a catalyst in polymerization for the production of PET used in bottles and containers.
China’s Ministry of Commerce announced Monday that export controls would be imposed on gallium and germanium to protect national security. Those wishing to export these metals will need to apply for a license and provide detailed information about the companies they sell to and for what purpose.
China is the main producer and exporter of these metals, although both gallium and germanium are not especially rare, their extraction and production process is expensive. A recent study by the European Union revealed that China is responsible for 94% of the world’s supply of gallium and 83% of germanium.
These metals are mainly extracted as by-products of other mining processes, such as aluminum or zinc production. Once extracted, the gallium and germanium undergo a refining process to purify them and obtain the forms suitable for their use.
The dependence on other countries in the production of these metals is due to the low prices offered by China. However, if shortages and prices become more unfavorable, other countries are likely to look to increase their own production.
Hallgarten & Co.’s Christopher Ecclestone explained in Bloomberg that China may achieve higher prices in the short term, but its dominance in the market will be reduced, which has already happened in similar cases with minerals such as antimony, tungsten and minerals. rare earths.
Gallium and germanium in other countries
These metals are found in various parts of the world. Besides China, there are other countries that produce gallium and germanium. Currently, Russia and Ukraine obtain them as by-products of alumina production, while Japan and South Korea obtain them as by-products of zinc production.
Other gallium and germanium producing countries are Japan and the United States. These obtain gallium mainly as a by-product of the production of alumina, zinc or other minerals. As for germanium, Germany is also one of the main producers. This obtains germanium as a by-product of the extraction of zinc, aluminum or other minerals.
The United States also has some production of these metals and in Europe, the Belgian company Umicore SA is a prominent producer. In addition, there are countries like the Democratic Republic of the Congo that have mineral deposits that could help increase the supply in the West.
The world’s gallium and germanium reserves are limited. According to estimates, the largest gallium reserves are in China, followed by Russia and Ukraine. As for germanium, the main reserves are in Russia, followed by Ukraine and China. However, it is important to highlight that the reserves of both metals are not especially abundant in comparison with other mineral resources.
The presence of these metals in different regions of the world helps ensure a global supply to meet the demands of various industries.
Source and photo: https://www.xataka.com/empresas-y-economia/china-tiene-capacitad-sobra-para-golpear-a-occidente-acaba-hacerlo-donde-le-duele-metales
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