Buyers stocked up on raw materials before August; impact of restrictions not yet foreseeable.
Shortly before export controls on germanium from Chinese production came into force, international buyers apparently stocked up heavily on the technology metal. As the news agency Reuters reports, based on figures from the customs authority, exports in July more than doubled compared to June. There was also a significant increase of 41 percent compared to the same month last year. A significant month-on-month increase in July was also seen in gallium exports, although there was a decline year-on-year. Reuters also reports, citing industry sources, that applications typically take 45 days to be approved for the export of both commodities, so the extent of China’s restrictions will not be known for several weeks. China says it has already received “some” export applications, a spokeswoman for the Ministry of Commerce told the newspaper China Daily. These would now be examined in accordance with the applicable laws and regulations. At the same time, the country reserves the right to adjust these regulations promptly if necessary, the spokeswoman said.
Photo: TRADIUM GmbH
