Instigated by the United States, Japan, the Netherlands, etc. Ignoring China's stern warnings, it has successively announced restrictions on Chinese chips. However, Japan and the Netherlands have not yet adopted restrictive measures against China. For the first time, our Department of Commerce announced restrictions on the export of critical semiconductor materials. After the news was announced, Japan was the first to respond, saying that it would retaliate according to the results of the assessment.
According to the website of the Ministry of Commerce, in order to protect the security and interests of the mainland, China requires relevant economic operators to go through export licensing procedures in accordance with the Export Control Law of the People's Republic of China and other relevant provisions from August 1. With the approval of the Ministry of Commerce, gallium, germanium and related items can be exported only after obtaining an export license.
Obviously, both gallium and germanium are important semiconductor materials. Data show that China's germanium reserves account for 41% of global reserves, and gallium reserves account for more than 80%. China's reserves and exports of these two metal minerals have long ranked first in the world. Therefore, after China announced restrictions on the export of gallium, germanium and related products, it has aroused widespread concern in many countries. American media reported that after the United States and Europe restricted semiconductor exports to China, China announced export controls on these two rare metals, which is an obvious counterattack to the United States and Europe.
As we all know, Japan will impose restrictions on Chinese chips on July 23, and they will be stricter than the United States. Correspondingly, Japan's performance is also extremely sensitive after China's restrictive measures. The U.S. government, long at the forefront of containing China, has yet to speak, while Japan has begun to comment on China.
Japanese Minister of Economy, Trade and Industry Yasunari Nishimura said at a news conference that it was unclear whether China's restrictions were a response to Japan's restrictions on chip exports to China. Japan is investigating whether this measure will have an impact on Japan. Once it is confirmed that China's move is "aimed at Japan", Japan will make an appropriate response in accordance with international rules. It can be seen that after the introduction of China's restrictive measures, as long as it affects the Japanese semiconductor industry, the Japanese government will take retreat measures.
In fact, due to the scarcity of proven reserves worldwide, many countries have identified gallium and germanium as important strategic resources. The United States began phasing out germanium mining in 1984 and protected germanium as a defense reserve. In the past decade, more than 68% of the germanium supplied in the international market has come from China. Accordingly, China's crackdown on the export of key mineral resources is only a routine measure to protect national interests and conforms to mainland law. It is not yet Japan's turn to call the shots.
In order to further contain China, the Biden administration has recently apparently begun to woo Western allies, constantly formulating a catalogue of strategic mineral resources, and signing contracts such as the so-called "Mineral Security Partnership" to control China globally. The entire semiconductor supply chain. Suppress and maintain an advantage in competition with China. To protect its national interests, China must take proactive measures to address this problem.
Regarding Japan's insistence on cooperating with the United States to restrict chip exports to China, mainland commerce minister Wang Wentao personally expressed concern when meeting with Yasunari Nishimura, but the Japanese side did not respond directly. This cooperation is a threat to China to release captured Japanese spies and liberalize imports of Japan's Fukushima nuclear food.
In theory, China's restrictions will not have a significant impact on countries such as the United States and Japan. Countries led by the United States can source essential elements, including gallium and germanium from China, from other countries or through third parties. But China, as a major exporter, is restricting exports of elements such as gallium and germanium, which is very likely to push up the price of basic elements. More importantly, the move could clarify China's attitude toward the United States, Japan and other countries. Not long ago, Japanese Prime Minister Fumio Kishida revealed his intention to visit China. China and Japan reached consensus on holding a meeting between China, Japan and South Korea. It is recommended that the Japanese side cherish this hard-won achievement and not covet tiger skins.