First Round of Rare Earth Export Controls (2023)

In 2023, China implemented its first export restrictions on gallium (Ga), germanium (Ge), and antimony (Sb). These materials are primarily used in semiconductor manufacturing, fiber optic communications, and other fields.

Impact: Gallium and germanium are key raw materials for chip manufacturing, directly impacting the production of radio frequency devices and optoelectronic components, exacerbating the global chip shortage. The United States, Japan, and other countries have begun seeking alternative sources, but it will be difficult to break China's monopoly on smelting and separation technology in the short term.

Second Round of Rare Earth Export Controls (2024)

In 2024, the scope of controls will be expanded to include tungsten (W), indium (In), molybdenum (Mo), bismuth (Bi), and tellurium (Te). These materials are used in semiconductor wafer manufacturing, solar cells, and high-temperature alloys.

Impact: Tungsten is used in chip etching processes, and indium is a core material for liquid crystal displays and photovoltaic thin films. This further restricts international manufacturers' access to raw materials.

Third Round of Rare Earth Export Controls (2025)

On April 4, 2025, China implemented an export licensing system for seven categories of medium and heavy rare earth elements: samarium (Sm), gadolinium (Gd), terbium (Tb), dysprosium (Dy), lutetium (Lu), scandium (Sc), and yttrium (Y). This system requires the declaration of end-use.

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