China limits exports of chipmaking metals in trade spat with U.S.

• China said on 3 Jul that it will impose new export restrictions on two materials crucial to making semiconductors and other electronic components, in an escalating technology trade standoff with the U.S.
• Exporters will be unable to ship gallium and germanium, as well as related chemical compounds, out of China without a permit starting Aug. 1, according to the Ministry of Commerce and the General Administration of Customs.
• Compound semiconductors that use gallium are essential for electronic devices as they help reduce power loss. Gallium nitride is used for lasers and other applications, and the material is expected to become more widely used in power semiconductors for electric vehicles.
• The gallium restrictions follow export curbs imposed against China by the U.S. and other countries. Washington is considering tighter trade restrictions on China-bound semiconductors, The Wall Street Journal reports. The proposed rules would apply to chips used for artificial intelligence.

External Link : https://asia.nikkei.com/Business/Tech/Semiconductors/China-limits-exports-of-chipmaking-metals-in-trade-spat-with-U.S