I see RE as a major concern. I'm surprised at the lack of urgency I sense from higher ups. They did say solutions are available, but will be costly and need dedicated policy.
"The critical mineral gallium, which is crucial to defense industry supply chains and new energy technologies, has been at the front line of China’s strategy. To date, China’s chokehold on rare earth metals has attracted more attention than its restrictions on gallium, and some have downplayed the potential consequences of disruptions to gallium supply chains.
As the impacts of these controls hit global markets, examining the case of gallium—a little-known but crucial metal—offers a powerful warning signal. China has a near-total monopoly over gallium production, accounting for a startling 98 percent of the world’s primary supply."
Key findings:
"The extent to which China can derive leverage from its monopoly over gallium production fundamentally depends on how fast alternative supply sources can come online. If plants outside of China can rapidly begin or restart gallium extraction, then China’s ability to threaten global supply chains will quickly diminish. While promising initiatives are underway to establish new gallium production capabilities, decisive government action is needed to ensure these efforts are protected from China’s market manipulation."
Source - CSIS
Full article is on Center for Strategic & International Studies site.
"The critical mineral gallium, which is crucial to defense industry supply chains and new energy technologies, has been at the front line of China’s strategy. To date, China’s chokehold on rare earth metals has attracted more attention than its restrictions on gallium, and some have downplayed the potential consequences of disruptions to gallium supply chains.
As the impacts of these controls hit global markets, examining the case of gallium—a little-known but crucial metal—offers a powerful warning signal. China has a near-total monopoly over gallium production, accounting for a startling 98 percent of the world’s primary supply."
Key findings:
- China’s gallium export controls have incrementally tightened in response to expanding U.S. technology restrictions. Its measures have ratcheted up from licensing requirements and end-user controls to a total export ban targeting the United States.
- Global dependence on Chinese primary gallium is now causing a gallium supply crunch that may soon impact key production lines as firms draw down their stockpiles.
- China’s most recent round of export controls on gallium extraction technologies could impede U.S. and allied efforts to quickly develop economically competitive alternative supply sources.
- Market forces alone are unlikely to solve the problem. Targeted government investment will be critical to breaking China’s gallium monopoly and undercutting its geopolitical leverage.
"The extent to which China can derive leverage from its monopoly over gallium production fundamentally depends on how fast alternative supply sources can come online. If plants outside of China can rapidly begin or restart gallium extraction, then China’s ability to threaten global supply chains will quickly diminish. While promising initiatives are underway to establish new gallium production capabilities, decisive government action is needed to ensure these efforts are protected from China’s market manipulation."
Source - CSIS
Full article is on Center for Strategic & International Studies site.
