China Imposes Export Controls on Antimony Products, Impacting Global Market - Analysis and Breakdown
China has announced export controls on certain antimony products starting from September 15, citing national security concerns. This move adds to Beijing's ongoing efforts to restrict the shipment of strategic minerals. Antimony, a versatile metalloid with various applications, is primarily used as a flame retardant, in photovoltaic glass for solar cells, and in lead-acid batteries. Its strategic importance has also grown due to its use in military equipment.
The restrictions imposed by China include licensing requirements for dual-use items and technologies, such as antimony ore and ingots. These restrictions are likely to reduce antimony exports, similar to the impact seen on gallium and germanium exports under previous restrictions. China is the largest producer of antimony, accounting for nearly half of global production in 2023.
The tight supply situation in the antimony market is exacerbated by declining production in China and limited processing capacity outside the country. Antimony prices have already reached record highs, with industry analysts predicting further increases due to stockpiling efforts by ex-China buyers. This has led to a surge in share prices of antimony producers in China and companies like Perpetua Resources.
Overall, the Chinese export controls on antimony products are expected to have a significant impact on global supply chains and prices. Consumers and investors should closely monitor developments in the antimony market to make informed decisions about their finances and investments.