Keith Rockwell
Export curbs applied to technology or critical raw materials are often justified by the need to promote downstream industries, the raising of revenue and environmental protection. But there are other motivations, including the desire to gain an upper hand on a geopolitical rival.
Governments justify export restrictions as necessary for national security, an ill-defined concept often used to defend trade-distorting actions. During the 2007 food crisis, countries hoarded rice and maize. During the COVID-19 pandemic, governments applied export bans on vaccines and medical diagnostic products. The war in Ukraine saw Russia restricting agricultural, mineral and energy exports. An average of more than 110 export restrictions were introduced each yearbetween 2021–23.
China’s December 2024 ban on exports to the United States of critical raw materials was predictable, given their strategic value in the production of semiconductors, electric batteries and armaments. The number of restrictions on the export of critical raw materials applied by governments grew more than five-fold between 2009–20 to 13,102. But this move represents a dangerous step which will further damage US–China relations.
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