China’s Revenge on Western Controls: Restricts Export of Another Key Mineral

• On 1 December, new export controls on graphite are applied
• The government says it is a matter of “national security”
• The move comes after new controls announced by the US and EU

New measure in China to control the supply of critical minerals for the energy transition. From the end of the year, the country will require export permits for some graphite products, a key mineral, among other things, for the manufacture of batteries for electric vehicles.

The Chinese government announced on Friday a tightening of the requirements for the export of a series of graphite products, a key mineral for the manufacture of batteries, as of December 1, “in order to safeguard national security and interests”, according to the Ministry of Commerce of the Asian giant. The move will help them secure domestic supply of graphite for military use, such as in aerospace, as well as domestic battery manufacturing, Chang Ke, an analyst at consultancy Mysteel, told Reuters. However, the measure is accompanied by another context, as it comes at a time of tension with the West. Three days ago, the U.S. Commerce Department announced tighter export controls on high-tech microchips that manufacturers can sell to China, and the European Union announced an investigation a month ago into the subsidies that the eastern country receives for electric cars, an issue that China called “blatant protectionism.” China is the leading producer and exporter of graphite and also refines more than 90% of the world’s graphite to make it a virtually indispensable material in the composition of all EV battery anodes (the negatively charged part of a battery).

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