On Tuesday last week, China’s department of commerce introduced some ominous export restrictions on gallium and germanium products, two metals used to make the products of the future, some of them integral in the dash to net zero we keep being told so much about.
Chinese exporters who want to sell gallium and germanium to western companies now have to apply for an export license if they are selling to manufacturers using it to make anything that is dual use, meaning it could have a military application as well as be for civilian use. If it is needed for fast chargers for electric vehicles, but can also be used in electronic warfare systems or next generation radar, then the Chinese Communist Party now insists on a license.
The message is pretty clear. The West has made itself reliant on China for so many resources, rare earths, minerals and green products. They are not banning exports of what we need, but making it clear they can. What the Chinese regime can give – a license for export of a vital product – it can also take away if its leaders are annoyed or feel provoked.
