Moreover, China’s government has implemented strategic policies to boost production, including a requirement for the country’s aluminum producers to create the capacity to extract gallium. (Photo credit should read CFOTO/Future Publishing via Getty Images) CFOTO/Future Publishing/Getty ImagesĬhina just stopped exporting two minerals the world's chipmakers needįrom 2005 to 2015, China’s production of low-purity gallium exploded from 22 metric tons to 444 metric tons, according to data compiled by the Center for Strategic and International Studies in Washington.Īnalysts from the think tank said China’s leading position in the aluminum industry has allowed it to establish a dominant share of global gallium production. The semiconductor devices made by gallium oxide can be more resistant to high voltage, smaller volume and lower loss, which can be applied in the fields of new energy vehicles, rail transit and renewable energy power generation to reduce energy consumption. Recently, the Advanced Semiconductor Research Institute of Hangzhou International Science and Innovation Center of Zhejiang University successfully prepared gallium oxide wafers with a diameter of 2 inches (50.8 mm), the fourth-generation semiconductor material. HANGZHOU, CHINA - Researchers look at gallium oxide wafers with a diameter of 2 inches (50.8 mm) at zhejiang University Hangzhou International Science and Innovation Center in Hangzhou, Zhejiang Province, China, May 30, 2022. “China dominates production of these two metals not because they are rare, but because it has been able to keep their production costs fairly low and manufacturers elsewhere haven’t been able to match the country’s competitive costs,” he said. The processing of the elements can be “costly, technically challenging, energy-intensive and polluting,” according to Ewa Manthey, a commodities strategist at ING Group. They are usually formed as a byproduct of mining more common metals: primarily aluminum, zinc and copper. Germanium is a hard, grayish-white and brittle metalloid that is used in the production of optical fibers that can transmit light and electronic data. It’s commonly used to produce compounds that can make radio frequency chips for mobile phones and satellite communication. Gallium is a soft, silvery metal and is easy to cut with a knife. Are more export curbs coming?īut there may be no other option but to do so.Īlthough the minerals account for only “several hundred million dollars” in global trade, according to Zhang, they are critical to the supply chains of the international semiconductor, defense, electrical vehicle and communications industries, which are each worth hundreds of billions of dollars.Ĭhina has dominated the production of both elements for at least a decade. VCG/Getty ImagesĬhina just played a trump card in the chip war. “Refining technologies and facilities for processing gallium and germanium cannot be built overnight, particularly considering the environmental implications of their extraction and mining,” she wrote in July.Įmployees operate machines at a dust-free workshop of a semiconductor factory on Main Siyang County, Suqian City, Jiangsu Province of China. While there are alternatives for the United States and its allies, constructing an independent supply chain for gallium and germanium processing could require a “staggering” investment of over $20 billion, according to Marina Zhang, an associate professor at University of Technology Sydney. Last year, it accounted for 98% of the global production of gallium and 68% of refined germanium production, according to the US Geological Survey (USGS). if China ends up blocking a large amount of exports, it will cause a disruption in the supply chain for the immediate consumers,” said Xiaomeng Lu, director for geotechnology at Eurasia Group.Ĭhina enjoys a near monopoly on the production of the two elements. “It is still early to tell how tight the restrictions would be. The curbs came after the United States, Europe and Japan restricted sales of chips and chipmaking equipment to China to cut off its access to key technology that can be used by the military. Just one month after China announced it would curb exports of germanium and gallium, both essential for making semiconductors, its overseas shipments of the materials fell to zero.īeijing says it has since approved some export licenses but the restrictions are a stark warning that China has a powerful weapon it can deploy in the escalating trade war over the future of tech.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |