In the end, it had to happen: after months and months of controversy and conflicts between USA and China In relation to chip exports and imports, in the end the Asian country has taken the first retaliation, and it is one that can have dire consequences for us, the consumers: They have banned the export of metals critical used in the manufacture of technological productssuch as Gallium, Germanium, Antimony and other heavy metals.
Given the new restrictions announced on Monday by the Biden administration, which prevent a wide range of Chinese companies from accessing any foreign product that includes a chip manufactured in the United States, the Chinese government has decreed a ban that takes immediate effect and that prohibits exports to the United States of “dual-use products.” These products include multiple metals used in technology manufacturing.
Technology manufacturing in danger worldwide
On Tuesday, China’s Ministry of Commerce made the disastrous announcement: “In principle, the export of Gallium, Germanium, Antimony and superhard materials to the United States will not be allowed.” This retaliation has not caught anyone by surprise, it must be said, since as most of you know, the US has been placing restrictions on China for months due to the absurd fear they have of losing “dominance” of technology. Just yesterday, the spokesperson for the Chinese Ministry of Foreign Affairs already warned in a press release that China would “take measures to safeguard the rights and interests of its companies.”
Come on, gentlemen yankeesWe all know that China is the one who distributes the cod in this area and for a long time, it is nothing new… but anyway.
With this ban, the Chinese Ministry also “demands a stricter review of the end use of graphite dual-use products.” This limits US access to a material that is frequently used in technology, from electrical cables to nuclear reactors.
Analysts already warned this Monday that the new restrictions on exports imposed by the United States could end up hitting them in the face and harming companies in the United States itself and countries with trade alliances with them. And the worst of all is that, in the end, no one can do anything to prevent China from accessing American technology, which is why in our opinion the two countries have engaged in a trade war that will harm the entire world and which no one is going to get any benefit from.
Let’s remember that giant companies like Intel, AMD and NVIDIA are American, and the fact that they cannot access these materials is going to be a very serious problem for the hardware landscape worldwide. You can imagine it: lack of raw materials is synonymous with shortages, rising prices and, finally, speculation.
We honestly hope that in the end they will realize that all they are doing is harming everyone and delaying technological progress globally, and that they will reach an agreement that puts an end to this useless pantomime.
