Although sales volumes have recently increased again slightly, exports have not fully recovered two years after the licence requirement came into force. Germanium even remains at a historically low level.
China once again exported significantly more gallium in July. The latest customs data shows that the People's Republic exported 9,007 kilograms of the critical metal, more than twice as much as in June, when the quantity was 4,260 kilograms. In May, no more material left the country at all.
However, there is only limited evidence of a recovery. While the export volume is gradually returning to the level of summer 2024, the number of trading partners is becoming increasingly limited. In July, shipments went exclusively to Germany (5,000 kilograms) and Japan (4,007 kilograms). By comparison, the number was twice as high in July 2024 with four customers, and there were even ten different export destinations over the whole of last year.
Jan Giese, Senior Manager Minor Metals and Rare Earths:
"Although gallium exports have recovered compared to the previous month, they are still very limited. The uncertainty in the market remains, as exports are only reaching selected target countries such as Germany and Japan. Secondly, the export situation remains highly unstable, as exports have been very volatile over the months: from high exports in summer 2024 to a zero volume in May 2025. As a result, buyers and sellers of commodities are undecided about how to act. It is still too early to speak of a normalisation in the supply of raw materials, especially as exports are still well below the previous year's level."
Germanium exports at a historically low level
Germanium exports from China also rose noticeably in July, reaching 763 kilograms after just 96 kilograms in June. Unlike gallium, however, exports remain at a historically low level. At the same time, the number of export destinations has also decreased, with only Russia receiving small quantities alongside Germany and Japan. In July 2024, there were still six countries.
Dr Christian Hell, Senior Manager Minor Metals:
"In the case of germanium, we can see that the processing of licence applications is finally picking up speed. The higher export volumes are the first visible results. Apparently, China wants to continue supplying key civilian industries such as the semiconductor sector in Germany and Japan and is prioritising their applications. Nevertheless, the quantity is only a drop in the ocean. Germany alone would need four to five times as much to even catch up with the backlog."
China is the leading producer of both metals, which are essential for high-tech sectors such as semiconductors, fibre optics and modern optical devices, and placed their export under strict conditions in the summer of 2023. This step was justified by the status of gallium and germanium as dual-use goods, which can have both civilian and military applications. Since then, Chinese customs have required exporters to provide extensive additional documentation; officially, the processing time is 45 working days, but in practice, companies have reported delays that are sometimes significantly longer. An export ban issued in December, especially to the USA, has placed an additional burden on global supply chains. For germanium in particular, there is now a Dramatic supply deficit.
A balance sheet two years after the export restrictions came into force, the news portal Rohstoff.net has published a report.
