China hits back in the chip war, imposing export curbs on crucial raw materials

[MH.Yang]

The only reason China is leading producer is because of low prices. Lots of countries just shot down production, but will restart if prices go up.
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First of all, that's bauxite production, not gallium.

Secondly, most of the world's bauxite mines are controlled and operated by Chinese companies.

Third, 2014 is nine years away.



BTW: If the USA wants to solve this problem, first it needs to obtain enough bauxite with gallium ore. Secondly, it needs to build enough aluminum plants. Thirdly, it needs to solve the problem of selling electrolytic aluminum. The U.S. semiconductor industry does not have that much time to solve so many problems.

 

[MeFishToo]

First of all, that's bauxite production, not gallium.

Secondly, most of the world's bauxite mines are controlled and operated by Chinese companies.

Third, 2014 is nine years away.

Being from 2014 doesnt change the fact that China doesnt control bauxit and zinc reserves. Gallium is a bi product once produced by many. If prices go up because of chinese export controls, production will restart again.
Gallium can even be recovered from scrap.
Btw, the US is only importing 50% of its Gallium from China.

 

[MH.Yang]

Being from 2014 doesnt change the fact that China doesnt control bauxit and zinc reserves. Gallium is a bi product once produced by many. If prices go up because of chinese export controls, production will restart again.
Gallium can even be recovered from scrap.
Btw, the US is only importing 50% of its Gallium from China.

Firstly most of the bauxite mines in African countries are controlled and operated by Chinese companies.

Secondly the electrolytic aluminum plant is in China.

Thirdly 80% of the US gallium imports come from China and 20% from Russia.

 

[MeFishToo]

Firstly most of the bauxite mines in African countries are controlled and operated by Chinese companies.

Secondly the electrolytic aluminum plant is in China.

Thirdly 80% of the US gallium imports come from China and 20% from Russia.

Like I said, China dominates because of a decline in gallium prices. If China cuts off supplies, production in other countries will quickly pay off. Seems to me you believe gallium production is some sort of secret the chinese are guarding like black powder or silk.

China accounted for approximately 86% of worldwide primary low-purity gallium production capacity of an estimated 870,000 kilograms per year. China accounted for 98% of worldwide primary low-purity gallium production.
The remaining primary low-purity gallium producers outside of China most likely restricted output owing to China’s dominant production capacity. These producers included Japan, the Republic of Korea, Russia, and Ukraine. Germany, Hungary, and Kazakhstan ceased primary production in 2016, 2015, and 2013, respectively. However, owing to the increase in gallium prices, Germany announced that it would eventually restart primary gallium production.
High-purity refined gallium production in 2022 was estimated to be about 290,000 kilograms, a 16% increase from the revised estimated figure of 250,000 kilograms in 2021. Canada, China, Japan, Slovakia, and the United States were the known principal producers of high-purity refined gallium. The United Kingdom ceased high-purity refined gallium production in 2018. Gallium was recovered from new scrap in Canada, China, Japan, Slovakia, and the United States.
https://pubs.usgs.gov/periodicals/mcs2023/mcs2023-gallium.pdf

 

[MH.Yang]

Like I said, China dominates because of a decline in gallium prices. If China cuts off supplies, production in other countries will quickly pay off. Seems to me you believe gallium production is some sort of secret the chinese are guarding like black powder or silk.

China accounted for approximately 86% of worldwide primary low-purity gallium production capacity of an estimated 870,000 kilograms per year. China accounted for 98% of worldwide primary low-purity gallium production.
The remaining primary low-purity gallium producers outside of China most likely restricted output owing to China’s dominant production capacity. These producers included Japan, the Republic of Korea, Russia, and Ukraine. Germany, Hungary, and Kazakhstan ceased primary production in 2016, 2015, and 2013, respectively. However, owing to the increase in gallium prices, Germany announced that it would eventually restart primary gallium production.
High-purity refined gallium production in 2022 was estimated to be about 290,000 kilograms, a 16% increase from the revised estimated figure of 250,000 kilograms in 2021. Canada, China, Japan, Slovakia, and the United States were the known principal producers of high-purity refined gallium. The United Kingdom ceased high-purity refined gallium production in 2018. Gallium was recovered from new scrap in Canada, China, Japan, Slovakia, and the United States.
https://pubs.usgs.gov/periodicals/mcs2023/mcs2023-gallium.pdf

I'm telling you, gallium is a by-product of electrolytic aluminum plants.

It takes 10 to 20 years to build an electrolytic aluminum plant, and electrolytic aluminum plants require a lot of electricity.

First of all, Western countries don't have that much time to rebuild electrolytic aluminum plants.

Secondly, countries like Vietnam lack electricity and they will not allow the development of electrolytic aluminum industry (1990s, China also banned the construction of electrolytic aluminum plants).

Thirdly, most of the bauxite mines are controlled by Chinese companies.

Fourthly, China may liberalize gallium export at any time and crush those re-established high-cost gallium mining companies.

 

[Puffin]

The good news is that one country is able to produce 13 tons of gallium.

The bad news is that that country is Russia.

The good news is that Ukraine is able to produce 4 tons of gallium per year.

The bad news is that Ukraine's gallium plant is in Donbass.

The good news is that the producers of the remaining 3 tons of gallium are Japan and South Korea.

The bad news is that the Japanese and South Korean plants need to import raw materials from China.

The good news is Sweden has discovered one of the largest deposits of Rare Earths.

Sweden's state-owned mining company says it has identified more than 1 million tonnes of rare earth minerals in the northern area of Kiruna. LKAB said on Thursday that the deposit, found next to its iron ore mine, was the largest of rare earth oxides in Europe.12 Jan 2023


The good news is Gallium costs about $500 per kilo and you require very little in semiconductor chips and Gallium AESA.


The good news is that controlling the supply will mean prospecting companies will divert efforts towards virgin territories in Africa, South America, Antarctica and the sea bed.

 

[OIO]

The good news is Sweden has discovered one of the largest deposits of Rare Earths.

Sweden's state-owned mining company says it has identified more than 1 million tonnes of rare earth minerals in the northern area of Kiruna. LKAB said on Thursday that the deposit, found next to its iron ore mine, was the largest of rare earth oxides in Europe.12 Jan 2023


The good news is Gallium costs about $500 per kilo and you require very little in semiconductor chips and Gallium AESA.


The good news is that controlling the supply will mean prospecting companies will divert efforts towards virgin territories in Africa, South America, Antarctica and the sea bed.

Can the West handle rare earths or rare metals within ten years? China will definitely be able to handle chips within ten years.

 

[MH.Yang]

The good news is Sweden has discovered one of the largest deposits of Rare Earths.

Sweden's state-owned mining company says it has identified more than 1 million tonnes of rare earth minerals in the northern area of Kiruna. LKAB said on Thursday that the deposit, found next to its iron ore mine, was the largest of rare earth oxides in Europe.12 Jan 2023


The good news is Gallium costs about $500 per kilo and you require very little in semiconductor chips and Gallium AESA.


The good news is that controlling the supply will mean prospecting companies will divert efforts towards virgin territories in Africa, South America, Antarctica and the sea bed.

First of all, we need to understand that rare earth is divided into two kinds, one is light rare earth, the other is heavy rare earth.

Light rare earth has seven elements, the main component is cerium. Light rare earths are widely distributed, with large reserves in China, Mongolia, Brazil, Vietnam and other countries. China's reserves account for 23% of the world's rare earth reserves.

The main component of heavy rare earth is yttrium. Heavy rare earths are mainly used in satellite, missile, aircraft engine, laser and other industries. The reserves of heavy rare earths are small, mainly distributed in Jiangxi and Anhui provinces of China. China's heavy rare earth reserves account for 92% of the global reserves.

China now monopolizes the global rare earth industry. Whether Brazil, Australia, Canada or the USA, almost all their rare earth mines are mined by Chinese enterprises. That is because China has monopolized the rare earth mining technology and patents.


BTW: I bet what was found in Sweden is a light rare earth. Because if it is a heavy rare earth, the western media will definitely report "heavy rare earth". If it is a light rare earth, the western media will only say "rare earth" and then not tell readers the difference between light and heavy rare earths.