China implemented stringent export control policies on silver, iron, antimony, and other critical materials essential to advanced technology industries on New Year’s Day. Silver, tungsten, and antimony will be managed by designating state-approved export companies every two years, while steel export standards have been significantly tightened by product category. This expansion of resource control—from rare earths to essential materials—reflects Beijing’s strategy amid the prolonged U.S.-China strategic competition over raw materials.
The Chinese Ministry of Commerce announced on the 30th of last month the list of companies permitted to export controlled minerals for 2026–2027. Fifteen companies for tungsten, 11 for antimony, and 44 for silver were approved, interpreted as a move to introduce a "two-year qualification review" targeting state-owned trading firms with large export volumes. To pass the review, companies must meet export performance, production capacity, and compliance requirements over the past two years. Silver, like gold, is both a safe-haven asset and a critical material for solar, electronics, and electric vehicles, making its supply-sensitive to price fluctuations. A source from the Securities Times, affiliated with the People’s Daily, stated, “The new silver export controls signify its official inclusion in the national strategic resource list,” adding, “Silver management is now at the same level as rare earths.”
On the same day, China reintroduced export permits for steel products after 16 years. The 300 managed steel items—covering raw materials and finished products—require a "quality inspection pass certificate" for export. A Beijing-based trade industry source analyzed, “While claiming to expand high-value steel exports, the Chinese government is tightening controls over global essential raw materials.” Industry insiders also noted that Beijing is stockpiling chromium and manganese, critical for special steel smelting, alongside export permit systems.
If rare earths were a preview of China’s "resource weaponization," the expanded controls on steel and other materials signal the main phase of its strategy, extending across the entire supply chain from raw minerals to intermediate and finished goods. This could allow Beijing to dominate the backbone of global supply chains.
By combining export permit systems and stockpiling instead of tariffs, China can minimize diplomatic friction while maximizing pressure on other nations. Analysts suggest Beijing swiftly tightened silver supply controls after the U.S. government officially added silver to its "critical minerals" list in November last year. Elon Musk, Tesla’s founder, criticized on X on the 27th of last month, “Silver is needed for many industrial processes. It’s not good.”
The South Korean government plans to analyze the impact of China’s permit system on domestic industries and supply chains. While silver imports (830 tons) are smaller than exports (3,116 tons), Hong Kong and China rank third and fourth in import sources, potentially affecting procurement. Short-term challenges may arise for industries like shipbuilding and automobiles in securing low-cost Chinese raw materials. A government official stated, “Some mid-sized and small companies processing imported Chinese steel may face supply disruptions or higher costs.”
Antimony, a byproduct of gold and silver refining, is vital for armor-piercing bullets, semiconductors, military electronics, and solar panels. China accounts for 41% of South Korea’s antimony imports, while the U.S. relies on China for over 60%. During President Lee Jae-myung’s visit to China on the 4th, strengthening supply chain cooperation was expected to be a key agenda.
Some posit that China’s controls could have partial positive effects. For instance, requiring quality certifications for steel exports might block low-quality Chinese steel, aligning with South Korea’s existing anti-dumping measures on Chinese steel plates, hot-rolled coils, and coated steel. For antimony, domestic firm Korea Zinc’s expanded exports to the U.S. last year may gain further momentum.

Published Date:2026-01-02