US Treasury Secretary Janet Yellen said she was “concerned” about China restricting exports of certain metals used to make chips and electronics.
Visiting China for the first time, US Treasury Secretary Janet Yellen met with US business people in the capital Beijing.
Yellen said in a statement, “I am concerned that China is restricting exports of two critical metals.”
Emphasizing that China is particularly disturbed by the measures taken against US companies, Yellen stated that they are evaluating the effects of China’s restriction on exports of critical elements and the decisions taken against companies on their country.
Yellen defended the US export restrictions, dismissing China’s accusations that Washington used these restrictions to gain economic advantage.
Stating that she said in her meetings in China that these decisions were taken to protect the national security of the USA, Yellen emphasized that there is no motivation to gain economic advantage behind these decisions.
Yellen, who went to China yesterday, emphasized in her Twitter post before her contacts that they were looking for “healthy economic competition” with China.
The US reported last month that it is considering new restrictions on the export of artificial intelligence chips to China.
China is the largest producer of the elements gallium and germanium.
The Beijing administration reported in May 2023 that the US microchip manufacturer Micron Technologies had failed its security review.China has restricted the export of gallium and germanium metals, which are used in many products critical to green and digital transformation, on the grounds of “protecting national security and interests”.
The restriction requires approval from the relevant authorities before exporting gallium and germanium, which is used to make chips and electronics.
The restriction will be in effect from 1 August.
China, the largest producer of these two elements, meets 95 percent of the world’s gallium production and 67 percent of the germanium production.