Mineral Trade Shift: China's Export Ban Fuels U.S. Import Surge
Following China's ban on exporting antimony, gallium, and germanium to the U.S., trade flows have rerouted through countries like Thailand and Mexico. Unipet Industries, a key player, significantly increased shipments to the U.S. This shift highlights the ongoing struggle between China and the U.S. over critical minerals.
The landscape of mineral trade is undergoing a significant transformation as unusually large quantities of antimony have been directed into the United States from Thailand and Mexico. This shift follows China's decision to prohibit exports of essential minerals such as antimony, gallium, and germanium to the U.S., according to customs and shipping records reviewed by Reuters. The trade data suggests a rerouting of U.S. shipments through third-party countries, with Chinese-owned companies involved in the process.
Information from industry experts and U.S. customs data indicates a massive increase in imports of antimony oxides from Thailand and Mexico, with quantities exceeding those of the previous three years combined. These countries have thus jumped into the top tier of export markets for Chinese antimony, despite not being significant producers themselves. Trade experts suggest these moves highlight a fierce competition for mineral resources essential for economic, military, and technological dominance.
The workaround strategies employed by companies, though costly and imperfect, underline the high stakes involved. Chinese Commerce Ministry's recent efforts to clamp down on transshipments underscore the challenges China faces in enforcing its ban. Meanwhile, profits remain high for those willing to navigate these turbulent waters, as shortages drive up global prices of these critical minerals.
(With inputs from agencies.)
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