China’s Rare Mineral Ban: A $34B Squeeze for the U.S.

In a bold move on April 27, 2024, China banned exports of critical minerals like gallium, germanium, and antimony to the U.S., citing national security concerns. This embargo is set to dent the U.S. economy by $34 billion over the next decade, with an immediate GDP hit of $3.4 billion annually. Tech giants scrambling for alternatives now face disrupted supply chains for semiconductors and EV batteries, highlighting the escalating U.S.-China trade tensions.

As the Biden administration pushes for domestic sourcing, industry players might need to turn their search for alternatives into a high-stakes treasure hunt. Meanwhile, both nations brace for the next chapter in their complex economic saga.