Daily News Analysis » China’s Restrictions on Gallium and Germanium

China’s Restrictions on Gallium and Germanium

About Germanium: 

  • Germanium is a semimetal (properties are intermediate between metals and solid non-metals) which makes it a good element for use as semiconductors.
  • Applications:  fiber optics, night vision goggles, solar cell technologies, infrared sensors, transistors, and semiconductor devices. 
  • It also has medicinal properties and is used as a dietary supplement.

About Gallium:

  • Gallium is a soft, silvery metal that is in a liquid state near room temperature.
  • Applications:  Semiconductors, electronic components, integrated circuits, light-emitting diodes (LEDs), and solar cells. 
  • It is also used in the treatment of cancers.

 

According to the Critical Raw Materials Alliance, 60% of the world’s germanium and 80% of its gallium are produced in China.

 

Why in news?

Recently, China declared that it would put export restrictions on the materials germanium and gallium. 

 

What restrictions has China announced?

  • China imposes restrictions on exports of gallium and germanium citing national security concerns.

Why should this be a concern: 

  • The global technology industry will have a disruption in the supply of raw materials 
  • Technology products will become expensive. 

 

How would this impact India?

  • Due to the interruption in immediate supply chains, it is anticipated that the Chinese export bans will have a short-term effect on India and its industry.
  • The increase in chip prices brought on by the export control order could have an impact on India’s chip manufacturing goals.

 

Note: 

  • Both gallium and germanium, which were recently added to India’s Ministry of Mines’ list of critical minerals, are also placed on the European Union’s list of critical raw resources, which is acknowledged as being essential to the region’s economy.
  • Furthermore, the United States and Japan view these elements as strategic resources.