🔍 Geopolitical chess in the semiconductor field: a trade war between China and the USA!

China has given a vigorous response to US restrictions on the export of advanced semiconductor technology. It is banning the export of key materials such as gallium, germanium and antimony, which are indispensable for cutting-edge technology - from chips and fibre optics to batteries for electric cars.

⚡ Why is this important?

China has these raw materials ona world-dominating scale : 94 % of global gallium production and 83 % germanium come from China. Their export is now restricted or banned altogether if they could be used for military purposes. This move is in response to recent moves by the US to tighten controls on the technology and to place Chinese firms on a list with strict licensing conditions.

The limited availability of these materials is likely to put pressure on the search for new mining sites outside China. At the same time, opportunities may arise in the raw materials and logistics sectors.

Technological innovation: Countries and companies will invest in recycling rare elements and look for ways to replace these materials. This may bring entirely new technologies.

Cost of production: Limited supplies may drive up the cost of manufacturing semiconductors and electric vehicles, which will be reflected in the price of final products.

Political tensions: Geopolitical tensions between the world's two largest economies are growing. I am interested to see how these measures will be handled by, for example The European Union.

⚖️ What do you think, are we witnessing a new 'technological cold war'?

This conflict goes beyond economic borders - it is about dominance in strategically important areas of the future. Investment in technological self-sufficiency will play a key role.
Which sectors do you think will be the winners of this tension? What do you think of this battle between the US and China? 🚀