China Escalates Trade Tensions by Halting Key Mineral Exports to U.S.

China has banned exports of gallium, germanium, and antimony to the U.S., citing national security. This move follows Washington's recent actions against China's chip sector. The ban affects minerals with military applications, intensifying trade tensions between the two largest global economies.

China has enacted a ban on exporting minerals like gallium, germanium, and antimony to the United States. According to a statement released on Tuesday, these minerals have potential military applications, stirring trade tensions just a day after Washington's latest measures against China's chip industry.

The Chinese commerce ministry stated its decision stemmed from national security concerns, stipulating that exports of these minerals to the U.S. are not permitted. This restriction reinforces existing rules China has implemented over the last year, significantly impacting trade dynamics as President-elect Donald Trump prepares to take office.

Trade analysts report that China produced the vast majority of the world's supply of gallium and germanium this year, presenting a considerable impact on global supply chains. The move marks a critical juncture in trade relations, with experts forecasting a challenging path ahead.

(With inputs from agencies.)