According to nipponese press agency Nikkei Asia China banned on Thursday 22 December 2023 the export of technology for the production of uncommon earth magnets and imposed another restrictions on key industrial metals, in an apparent consequence to the movements of the US and Japan to reduce their dependence on Chinese suppliers.
Importantly, technologies for the extraction, selection and refining of uncommon earth ore are besides included in the list of technologies subject to export control. Technologies related to the extraction and separation of uncommon earth metals and alloy production were already subject to export ban.
The tightening of restrictions occurs erstwhile the United States and another countries effort to build supply chains that are not based on China in the face of increasing concerns for economical security.
Japan is strong in producing powerful uncommon metallic magnets, and the United States uses specified magnets in high-tech products.
According to U.S. Geological Survey, China's share of global production of uncommon earths fell to about 70% last year from about 90% of the decade before.
The United States began to make its own uncommon earth metallic mines, but China continues to dominate refining and processing. another countries, specified as the US, do not have adequate of their own refining plants, partially due to their environmental impact, and China has accumulated technological cognition in processing.
The United States sends the vast majority of its ore of uncommon earths to China to be processed before reimporting. According to a Chinese investigation company, last year China was the largest trading partner of the USA in both exports and imports of uncommon earth metals.
The Chinese government strengthens control of key resources for high-tech areas. In November, he began to require exporters of uncommon earth metals to study the types of exported metals and their destinations. Currently, prior approval of exports of gallium, utilized in semiconductors, and graphite, is required – material utilized to manufacture batteries for electrical vehicles.
Thursday's changes in technology export restrictions shortened the list to 134 items from 164 listed in the regulations published in 2020, but imposed more detailed method requirements in high-tech areas where Washington and Beijing are fighting for dominance.
How supply chains are built in case of RES or electrical cars and why China is the most crucial player here I spoke during a lecture organized at the initiative of FULLBAX at the E-Trade Fair in Warsaw in October of this year:
Leszek B. Glass
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