china

The US launched a pulse to China with the tariffs and China has responded not buying soybeans. It is wreaking havoc

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China is hungry. We have seen it recently with fish, sweeping sides of South Americawe also see it with The taste for coffee they are developing And with a product very culturally linked to Asian countries: soy. The problem is that the amount of soybeans that produce is marginal (about 20 million tons) and esteem that need between 120 and 130 tons to meet their demand. Who do they buy it? To Brazil and the United States, but with the tariff pulse of recent months launched from the administration of Donald Trump, China has decided that its response would be to make the emptiness to the American soy. And it is causing the silos of the farms to be burst. Brazil and Africa are delighted. Bassoon. To understand the current situation, you have to look a few years ago. Makes one decadeChina was an undisputed ally of the American soybean market. It is estimated that about 40% of the soy of the United States went to China, but with the arrival of different commercial vetoes, things began to change. In 2024, China bought about 20% of its soy to the US. It supposes more than 27 million tons of soybeans with an approximate value of about 12.8 billion dollars, but Things began to twist With the new commercial war. Due to Tariff crossing Applied by Washington and Beijing to their respective imports, there were doubts about what would happen to that star product and if, with high tariffs, it would remain equally appetizing for Chinese importers. We already have the answer. The photo in 2025. From January to July of this year, it is estimated that China imported 16.5 million tons of American soybeans, a ridiculous figure compared to that of previous years. The worst is comingsince a virtually zero soybean import from the United States for the last quarter in which we are going to enter, contrasting with the more than ten million tons in the same period of the previous year. In fact, if in 2024 20% of China’s agricultural imports from the US were only soybeans, this year it is estimated that the figure will remain in 12% imports for all agricultural products. North Dakota. As they point in New York Timesin a typical year, the United States would send more than half of its soy to China, having states like North Dakota that would sell 70% of its production to the Asian giant. With this change of course in the market, farmers face the risk of blockbuster, filling silos, but without the possibility of giving way to so many tons of product. The consequences are what we already know: brutal prices falls, loss of land value and rural economy, while farmers have to continue paying mortgages. In the 2019 commercial war, the administration offered aid to farmers to support the pressure of a China that did not buy them, but it remains to be seen in the near future while senior US and China officials will They gathered This week in Spain to discuss commercial decisions (With Tiktok’s highlight). As NYT points out in NYT report, farmers expect that of soybeans to be one of the issues to be discussed, since there are examples of farms that will lose up to $ 400,000 only this year, being an inasumable situation in some cases. China looks at Brazil. But of course, China is not stopping buying soybeans for both human consumption and for the consumption of livestock, what happens is that they are buying it to other producers. The US is the second worldwide, but above it has someone who is living a totally opposite situation: Brazil. With the commercial war of 2019, China has already begun to diversify looking at the Brazilian market, but these years has been combining both for mere interest: as noted ReutersUSA sent its soy between September and January, before the Brazilian harvest that starred in the rest of the months. In the middle they point out that China has gained soybeans so as not to have to buy the United States this season. HE esteem that the South American soy will cover 95% of the October China demand. Also to Africa. In parallel, China is exploring new origins for soybeans, especially in Africa. Although we talk about modest volumes, imports from Nigeria either Mozambique They have increased in recent months, being part of China’s strategy to diversify, minimize risks and, in addition, invest directly in areas with agricultural potential and in which they can have greater control. Because this strategy is something that we not only see with soybeans, but also with infrastructure both in Latin America (among it, Railways and ports) as in Africawhere they are investing in projects that allow access to critical minerals and metals. It is something that reinforces its position geopolitics in front of the United States while diversifying their sources for ensure stability and continuous supply. In Xataka | There is so many demand for fish in China that has opted for drastic measures: two “aircraft carrier” as a hatchery

China is making time its best resource. Its rapid iteration is unique

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China has open fronts in practically any technological fieldand in recent years we have seen how the country has opted in a mastodontic way in areas that could decide its position in the next decade. The Asian giant knows that time is one of the most valuable resources in the digital era, and therefore its digital manufacturing ecosystem and ultra -grape iteration is changing the rules of the game worldwide. A silent revolution. What took months to develop now is completed in weeks. The medium baiguan I explained it Through a visit to the facilities of a Robotics Startup, where it indicated that modifying a structural component at an early development stage required opening molds, a process that could cost about 200,000 yuanes and several months of waiting. “The development cycle, which used to last between one and two months, could be shortened one week or a few weeks with the help of digital manufacturing and 3D printing,” assured The medium. The processes now allow multiple iterations in the time that took time to complete one. The perfect speed ecosystem. In this sector, China does not dominate just by having cheap 3D printers manufacturers. According to the medium, its real advantage lies in an integrated ecosystem that includes ultra -efficient logistics networks, interconnected software and hardware suppliers, and a delivery capacity that allows to close the market feedback cycle in record time. The medium Point out To the Miniso company as an example: from design to sale, the entire process is digitized and can be completed in a week. Figures. Between 2015 and 2022, China’s additive manufacturing sector grew by 30% per year, According to Am Research. The firm specialized in market analysis projects that the country will obtain revenues of about 8,000 million dollars only in 3D printer sales by 2032. To put it in context, China represents 50% of the global industrial robots installation, compared to 25% in 2015. Companies like EPLUS3D have already developed metal printers with up to 64 laserssurpassing Western competitors such as Nikon SLM Solutions, who stay in 12. Cheap labor costs, yes, but there are more. For years we have thought that Chinese competitiveness was based solely on economic labor or flexible regulations. However, Baiguan appointment Its extraordinary digital capabilities, flexible supply chains and ultra -grape mechanisms for market feedback. From Roborock to Pop Mart, Chinese companies are gaining global market share not only for being cheaper, but for iterating faster. The challenge for the West. China allows companies to deduce 200% of their R&D expenses for taxes. As Point out Forbes, the United States reduced that 100% to 10% deduction in 2017. In addition, it must be taken into account that Chinese companies not only dominate their domestic market. And as explained by the media, China is engaged by opening offices both in Europe and the United States, offering cheap significant equipment without sacrificing quality. China uses time in its favor through the development of new technologies, and it is the same time that will tell us where the country will be located in the next decade. Cover image | Catgirlmutant In Xataka | Goal is living in the first person a world reality. You may want not to depend on China, but you actually depend on it

To Holy What Buy China so much oil now

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From the port of Singapore to the port of Houston. The entire energy market is asked these days the same question: Why is China buying oil as if there were no morning? The collection is so massive and sustained that analysts have more doubts than certainties. 90% of world oil. So far this year, China has bought about 150 million more barrels than you consume, publishes Bloomberg. At the current price, that is an invoice of 10,000 million dollars in raw that, For what we knowyou don’t need. To put the data in context, the International Energy Agency estimates that, in the second quarter of 2025, China has absorbed more than 90% of the storage of measurable crude oil worldwide. According to ReutersAugust’s surplus exceeded one million barrels per day. So that? It is the million dollar question and there is no clear answer. If we attend the Ockham razor, one of the simplest explanations would be that oil is “cheap.” Although prices fluctuate, in terms adjusted to inflation the barrel is at a price similar to that of 20 years ago: $ 64 per barrelaccording to the futures market of the WTI crude. An explanation is that Chinese government planners, known for their long -term vision, are taking advantage of a golden opportunity to fill their deposits at a reasonable cost. They have where to save it: China has been adding massive storage capabilities with the construction of new tanks and the entry into force of a new law. A lot of hole to fill. On January 1, the new Energy Law In China. For the first time, the country establishes as a legal obligation that both state and private companies maintain strategic reserves. In essence, the private sector now shares with the government the responsibility of storing raw. Consequently, there is still a lot of hole to fill. According to him Oil & Gas Journalgovernment strategic reserves are 80% of their capacity, while commercial storage tanks are only 50%. A “giant”. In case the above reasons were few, analysts have a range of geopolitical explanations. China buys approximately 20% of its oil from countries under western sanctions, mainly IranRussia and Venezuela. He knows that the United States could, at any time, harden control and hinder that flow. Another theory points to a diversification of its foreign exchange reserves. Instead of continuing to accumulate United States Treasury bonds, China could be investing part of that capital in a physical and strategic asset such as oil, a play similar to its constant purchases of gold, seeking to reduce its exposure to assets linked to the dollar. Do war drums sound? Here we enter the purest terrain of speculation, but for the most pessimistic analysts, this massive accumulation of reserves only makes sense if Beijing is preparing for a possible military conflict over Taiwan. In that scenario, having full energy pantries is not an option, it is a strategic need. How it affects us others. The sudden thirst for crude oil has a direct effect on the global market. According to the International Energy Agency, the world is directed downhill and without brakes to a surplus of “unsustainable” production of 2.5 million barrels per day for the second half of 2025, which could reach 3 million in 2026. Normally, a surplus thus would cause a collapse of prices. But, according to the analysis of Argus MediaChina is acting as a giant sponge that absorbs much of that excess supply and helps maintain the most stable prices than they should. In summary, either by pure commercial strategy, by legal imperative or in preparation for a conflicting future, China has become the “X factor” of the oil market. While continuing to buy, prices will have a floor. The day I step on the brake, the huge global surplus could flood the market. And no one, except perhaps a few in Beijing, know when that will happen. Image | Corey Seeman (Flickr, CC BY-C-SA 2.0) In Xataka | A European satellite has caught two ships transferring natural gas in the Mediterranean. The key: is Russian LNG

The true city of the future is not in China, we have it next to the house: Benidorm

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In the province of Alicante between crows of calm waters and white villages such as Altea, that vertical colossus that we all know appears: Benidorm; for many an urban non -non -nonsense; For others, a continuous party on its crowded sea and the streets of English bars just some apples from the beach. I, who am Alicante, know the discussions it causes. We can spend hours regretting your skyline, your infinite blocks or tourist invasion. But, beyond prejudices, Benidorm is moving in an unexpected direction: to become an urban sustainability laboratory, capable of producing its own energy, reusing almost all the water that consumes and serves as a model to other cities that seek to survive the climatic crisis. Short. The BIPV system (photovoltaic integration in buildings) is not new, but the intervention presented by the solar company Earth takes another step. According to your own statementThe company will rehabilitate two residential buildings of 17 plants, Medical Club VI and VII, by integrating 1,200 m² of vertical photovoltaic glass integrated into ventilated facade. Beyond the aesthetic. These facades will act as an energy skin capable of generating about 190,000 kWh per year, which will reduce the energy demand of the houses around 35% and avoid the emission of more than 50 tons of CO₂ per year. “This project shows that energy rehabilitation can go far beyond efficiency: it can transform buildings into active renewable energy generators,” José Carlos Antón saidCEO of Solar Earth. In addition, the ventilated facade system provides thermal and acoustic insulation, reinforcing the comfort of the neighbors. The work has the support of the Ministry of Housing, the Generalitat Valenciana and a financing of 1.9 million euros of the Next Generation EU Plan. A city looking for more. Benidorm has been working on another critical resource for years: The water. In an increasingly frequent drought context in Spain, they place the city among the more efficient in water managementwith uses close to 95% compared to 75% in Spain and the EU and with Reuse for irrigation around 30%. The strategy has been clear: constant infrastructure investment, renewal of obsolete networks, digitalization and control in real time of consumption and leaks. In 2025, the City Council He even presented a regenerated water management plan that will save about 15 % of the drinking water consumed by the city. The first phase is already underway in the Poniente area, where regenerated water will be supplied to more than 6,000 homes. All for a broader strategy. The commitment to solar glass and water reuse is part of a broader strategy of urban sustainability. He Benidorm Plan 360within the tourist sustainability plans at destination, it includes projects such as climatic corridors, sustainable urban drainage systems or the measurement of the water footprint. There are also actions in energy efficiency, such as the renewal of public lighting with LED technology, and sustainable mobility plans. All this has earned Benidorm the recognition of “green pioneer” within the network of smart tourist destinations. A paradigm shift. For years, Benidorm has been a symbol of mass tourism and urban speculation. Under that facade, however, the city has learned to manage its resources as few. He did it with water and now he wants to do it with energy. The true city of the future is not being built in Chinese megalopolis or in the futuristic experiments of the Middle East, but a few kilometers from home, in front of the Mediterranean. And it’s called Benidorm. Image | Freepik and Unspash Xataka | Self -consumption takes another step in China: windows that produce electricity while still being windows

Goal is living in the first person a world reality. You may want not to depend on China, but you actually depend on it

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Although Mark Zuckerberg’s speech about the importance of American dominance in the face of China has adopted an increasingly aggressive tonethe reality is to stop depending on China in this regard It is complicated. And is that his strategic commitment to Smart glasses It depends almost completely on Chinese suppliers, especially on Gortek. According to sources of Financial Timesit is a company that has consolidated its control throughout the sector supply chain in Shandong. China dependence. Sources close to the company They assure that Zuckerberg has held meetings with Trump to talk about the importance of the United States leading the technological career against China. However, at least today, your company cannot manufacture your most promising devices without these Chinese companies. The Ray-Ban Meta glasses, which have sold More than two million units Since its launch, and the new Hypernova that aim to show during the Meta ‘Connect’ event, depend on Gortek for its production. Control. Goertek has not been a simple manufacturer. According to The medium, the Chinese company has executed an aggressive acquisition strategy to control key points of the chain: it has taken control of Shanghai Omnilight, specialized in micro/nano devices optics for smart glasses, and has financed the purchase of Plessey, a British optical supplier that also works in the finish line. “Goal has no choice but to work with them because they are the most stable and reliable supplier for key components,” They assure Sources close to the company. Failed diversification attempts. Goal has tried to reduce its Chinese dependence, moving part of the production of its Quest headphones To Vietnam. But even there, Goertk is still one of its main partners, as they point out from Financial Times. The Chinese company seems to have intuited the opportunities that it would have intuited very early The metaverso (who would say it) and its smart glasses, becoming an indispensable supplier. Past and present tensions. The relationship has not always been simple. According to affirms The medium, in 2022, tar The Quest. Meta executives came to discuss legal actions, but finally decided not to do so. Goertek denies having sold its own VR glasses and ensures strictly complying all agreements with its partners. The future also passes through China. According to the medium, the new Hypernova glasses, which will incorporate for the first time A small screen In one of the lenses to show notifications and responses of the Meta’s assistant, they are also being manufactured by Gortek. Fuentes say they would have a price close to $ 800, and represent the next step in the goal strategy to integrate artificial intelligence into portable devices. The premise is similar to what Google showed in its event Google I/or with that concept of smart glasses that already We could try in advance. It seems that we will have to wait for the event ‘Connect’ of Meta that will be held in the next few hours to learn more information about it. And now what. The company assures Having a “robust and diversified supply chain” and that does not depend solely on a manufacturer, but the information indicates that Gortek has become practically indispensable. A good part of the technology that drive this kind of glasses depend on Chinese manufacturers, so if this type of products end up being a massive success, it will be interesting to see what the strategy of Chinese companies around this other key sector will be. In Xataka | The Meta Ray-Ban have turned anyone into spy for 329 euros. Barcelona’s detainee is only the first visible case

It is an ASML ‘Made in China’

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China had a great disadvantage in semiconductors. It seems to be solving it, because the Chinese manufacturer of SMIC semiconductors is testing a new machine from deep ultraviolet photolithography (UVP) that yes, is still one step behind the extreme ultraviolet machines (UVE). We are facing a potential turn of events in this Chips war that maintain US and China and that now becomes especially interesting. Why is it important. Sources close to this project have indicated In Financial Times that SMIC is testing a UVP machine manufactured by a Shanghai startup called Yuliangsheng. If these initial tests are successful we will be facing a great Chinese victory in the semiconductor sector. One that will above all will allow you to further reduce western technology dependence and thus accelerate the production of advanced chips of AI, for example. A great step for Chinese photolithography. Lin Qingyuan, a semiconductor analyst at the Bernstein consultant, explained precisely as if this DUV machine meets expectations, “will represent an important step for Chinese companies, which can start from this technological milestone to create machines (of photolithography) increasingly advanced.” The machine makes use of “immersion technology”, a technique also uses by ASML in its machines. But. As indicated in FT, although most of the YulianSheng UVP machine are local, there are some parts that have been obtained abroad. That causes there to be some dependence on components that China does not manufacture at the moment, but the company is trying to develop them to solve that problem. Patience. Not just that. Adjusting these UVP machines have time. This process is necessary to achieve adequate stability and that chips can occur without defects. That period can become up to one year, which makes this Chinese race to avoid the dependence of foreign suppliers. Those 7 nm have a trick. The UVP machine that SMIC is testing obtaining 7 nm chips. Speaking of nanometers have long been talking about We don’t talk so much of the physical dimensions of the semiconductors and of the generation in which they are at the level of benefits and efficiency. These machines could even achieve 5 Nm chips although more likely that the rhythm of production of reliable chips falls. China is still linked to UVP machines. The new YulianSheng UVP machines are apparently more advanced than those already worked in some Chinese manufacturers. This also limits Chinese innovation capacity, which depends on machines that were bought before Restrictions entered into force. These UVP machines are the ones that for example They are used for Huawei Ascend chips. Sicarrier advances. The YuliangSheng matrix It is none other than Sicarrierwhich was created in 2021 and that began to be known in March. It was then that he showed advanced microchips production machines that rivaled those of Tokyo Electron or Applyed Materials. This company has a project to develop an EUV machine, which has as its name “Monte Everest”. Care, Asml. Until now, Chinese semiconductor manufacturers, like many others worldwide, have depended on the advanced photolithography machines of the Dutch company ASML. The veto for the commercial war between China and the US had notably limited the access of Chinese companies to these machines, which prevented them from competing in equal cnditions. Although there were some options – Shanghai Micro Electronics Equipment also had DUV machines – these were less advanced. And what about EUV machines? Although the project is an important step forward for the Chinese semiconductor industry, there is an even more important leap to the machines of extreme ultraviolet photolithography (UVE), which are those used to produce the most advanced chips of companies such as NVIDIA. At present, ASML cannot sell EUV teams to China, but be careful: the Asian giant He is already working to access this technology. China will continue a step back. Not being able to access EUV machines is still very important to slow down Chinese innovation capacity. TSMC and other companies already They make use of EUV Machines of ASML Able to work with photolithographic nodes of 2 Nm, something that significantly increases the chip density and the efficiency and power of all types of processors, including those used for AI accelerators that sell NVIDIA. In Xataka | This is China’s big problem with chips: Huawei will manufacture its Kirin X90 for PC using the 7 Nm of SMIC

This is how China is convincing their best minds to leave the USA

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Song Chun-Zhu is one of the most prominent authorities in the field of artificial intelligence. After almost three decades developing in the United States, in 2020 Zhu returned to China. It is one of the most notorious cases, but it is not the only one. China has been offering better conditions and more resources with one goal: to recover its best minds to lead the technological career. What’s happening. At the end of the 80s, with the promise of better working conditions and more resources a lot of Chinese talent emigrated to the United States. It was the case of the aforementioned Song Chun-Zhu or Liu Jun, who became one of the most prominent statesmen in the United States. Both They have returned to China And they are the example that the trend that began decades ago is reversing. Why it is important. China is the largest engineers in the world And this has become a key factor in the AI ​​era. It is estimated that at least 38% of the United States’s experts are Chinese and have studied in China. A recent example we have in The new Zuckerberg Superintelligence team, where almost all are Chinese. That a talent escape (rather return) from the United States to China could occur could tip the balance of leadership in AI. Surveillance and tensions. In 2018, the United States promoted the ‘China Initiative’whose objective was to combat economic espionage by the Chinese government. This affected the work of many Chinese scientists, increasing by 75% the number of academics who decided to return to their native country in 2021. On the other hand, the growing tensions between the United States and China, added to The cuts Under Trump’s second mandate they have made the weather anymore. China takes advantage. There is another key reason and that is that the Chinese government is offering very juicy incentives so that the best minds return to their land. They tell the Guardian, that Zhu was offered “resources he could never get in the United States.” It is similar to the case of the Brainco Neurotecnology Startup. It was founded in Boston by Han Biceng and currently has its headquarters in Hangzhou; He returned for the incentives offered by the government. More facilities. This summer, the Chinese government announced a New visa aimed at young technology and science specialists. This visa offers more advantages as more entries, period of validity and longer stay. They can opt for children under 45 who have STEM studies and researchers. With this, the government seeks not only to recover the talent that went abroad, but to attract foreign talent itself. Cover image | Song Chun-Zhu, Gary Lerude In Xataka | There is a city in China that is measured face to face with Silicon Valley: welcome to Hangzhou, the house of the ‘Six Little Dragons’

A perfect storm is hitting wind energy in almost everyone. Less in China

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Wind energy has gone from being the great hope of Europe to be in the shadow of photovoltaic solar. Deserted auctions, paralyzed projects waiting for permits and bottlenecks in network connections are an increasingly common reality for the sector both in the old continent and in the United States. But in the midst of this perfect storm, an exception called China is able to completely distort global statistics. Wind in the West. Europe installed 16.4 GW of wind capacity in 2024, a figure lower than the expected Windeurope It attributes endless administrative delays and increasingly complicated financial conditions, especially for inflation in the supply chain. Projects Judicially blockeddeserted auctions … Nothing that the United States is not experiencing on the other side of the Atlantic. A few weeks ago, the US government canceled an investment of 679 million dollars to adapt the ports to the offshore wind industry, an infrastructure without which the huge components of marine wind turbines cannot be assembled or transported. Before, the Trump administration had paralyzed the construction of almost finished wind farms For the alleged espionage from China. Meanwhile, in China. If wind energy facilities grew 13% in 2024 it was almost exclusively thanks to Chinese demand. Excluding China from the equation, The market contracted 16%. Only Chinese manufacturers continue to beat orders records, and there are no signs that this will change this year. According to a Bloomberg reportChina monopolizes approximately 75% of all new offshore wind energy facilities in 2025. The Asian country dominates the world production of components and enjoys greater investments thanks to the agility of permits and financial support of the Communist Party, which establishes very low interest rates for these companies. A two -speed transition. The result is an energy transition that advances at radically different rhythms. While Europe and the United States collide with economic reality and government changes, China meets its objectives and almost completely dominate the supply chain. We are living The fastest energy change in historybut not all countries can advance at the same speed. This imbalance is also one of the reasons why Solar energy has eaten the ground to wind in pioneer regions in the sector, such as Europe. The installation of panels (most manufactured in China) is cheaper and more simple, both at the logistics level and permits, than the wind turbine industry that once Europe led. Image | Siemens Gamesa In Xataka | One of the most arid areas in China is reverde. The reason: a plant with seven million solar panels

China has made Tiktok a currency

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Madrid has been the place where something historical has happened. Something unpublished. The first “technological barter” of the new commercial era between the United States and China. Both powers have agreed a frame (one “Framework “) For Tiktok to pass to American control. The difference is what each part has decided to communicate to its citizenship, although we have heard the rest of the world. And that says a lot about the priorities of each country. Why is it important. China has turned Tiktok into the horse of a chess where he no longer gives technological concessions, but changes them for economic access. US Treasury Secretary Scott Besent has confirmed the “Frame for an agreement on Tiktok“, But the real conditions will be known when the call between Trump and Xi Jinping arrives next Friday 19. Between the lines. The statements of both countries show divergent strategies: The United States focuses on national security and property. China Emphasize the “Chinese characteristics” of the algorithm and the “intellectual property rights”. This difference is not accidental: China is establishing that its technology has commercial value, not just regulatory. The time chosen to announce antimonopoly research against Nvidia is not coincidence either. China He has accused Huang giant to violate competition laws related to Its acquisition of Mellanox in 2019. He Timing He speaks for himself: in Madrid he was negotiating about Tiktok, but China also wanted to remember that he also has ways to pressure US technology companies. The context. This is the fourth round of conversations in four months between the two world economic powers. The American tariffs to Chinese products They have oscillated between 145% and current 30%. China maintains 10% on US products. The next tariff pause expires in November. Two months seen adding urgency and pressure to negotiations. Growing pressure. Research to Nvidia is the best example of an uncomfortable new reality: Western technology companies depend more on China as a market than China of them as suppliers. China represents 13% of Nvidia’s total salesand the company has failed to send Your H20 chips specifically designed for the Chinese market for US regulatory obstacles. Evolutionary. The Tiktok agreement could sit for a precedent for future technological negotiations. China has indicated that you could license intellectual property rights, including algorithms, instead of completely transferring technology. This model would allow a certain control over technology while meeting the US demands. And now what. Commercial details are still a secret, but some analysts cited by BBC They suggest that Oracle could be part of the buyer consortium. The fire test will be whether the agreement manages to give a folder to concerns about national security, or if you simply make up for changes in paper property. The next commercial conversations, scheduled for a month, will determine if this technological exchange model by economic access extends to other sectors. China has already shown that you can use its antitrust regulations as a pressure tool. And that makes the Chinese market a commercial weapon as effective as US tariffs. Outstanding image | Solen Feyissa In Xataka | China has been hoarding copper for months. And the rest of the world are dedicating ourselves to look

A very rare element of the periodic table is unleashing a new geopolitical battle with China: Germanio

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China has been weaving, little by little, a network of power around critical minerals: first Rare earthsafter Copper And now Germanio. Although its name barely says anything to the general public, this metal is essential for the defense industry – from the night vision systems of the fighters to the satellites – and for the optical fibers that support the Internet. Today there is almost no market, its price has been quintupled in two years and the origin of the collapse has a clear name: Beijing. The origin of the crisis. Two years ago, China announced controls At the exit of Germanio, Gallium and Antimony in response to the restrictions of the United States and the Netherlands on advanced semiconductors. However, the real blow arrived at the end of 2024: Germanio’s exports collapsed, leaving merchants without supply. Terence Bell, from Strategic Metal Investments, I recognized Financial Times That had been able to buy a gram six months. “The situation is desperate,” he said. Aaron Jerome, from Lipmann Walton & Co, described a devastated market: “Before we could buy 100 kilos; now we are lucky if we got 10, and the triple price.” And Christian Hell, from the Tradition Commercial House, added to the same medium that the demand was “for the clouds” and that he received desperate consultations of companies from the United States and Europe. The figures confirm the collapse. According to a Policy Accelator Silverado analysis cited by Financial Timesbetween January and July of this year, Germanio imports to the United States from China fell 40%. The result has been an unprecedented price escalation: just $ 1,000 in 2023 to almost $ 5,000 in September this year. This is the highest level registered since 2011. A strategic role. The importance of Germanio is not in its geological rarity, but that it is very difficult to extract, since it is obtained as a zinc and coal byproduct. In addition, its use in defense is irreplaceable for thermal image systems in fighters, drones and satellites. In the civil sector, it is used in optical fiber, solar panels and chips. “Finding substitute materials is complicated, because it would imply a complete redesign and a loss of unacceptable precision in military applications,” explained the analyst Caroline Messecar in Financial Times. For these reasons, According to estimates from the Fastmarkets agencyworld demand is around 180-200 tons per year of Germanio. One more piece of a much wider board. In Beijing they have converted critical minerals into geopolitical weapons. At the end of 2024, They prohibited export from Gallium, Antimony and Germanio to the United States, and shortly after added Scandio and Disposioessential in chips, telecommunications and storage. The strategy behind the Asian giant is to monopolize the control of the entire chain. To name a few examples, China has 4% of world copper reserves, but controls 49% of the global refining. “More than accumulating raw materials, China is building an intentional bottleneck in the supply chain,” My partner has detailed in Xataka. The same goes for the Tungsten, where it controls 83% of the world supply and tightened the export controls in February 2025, What fired prices 55%. In simple words: Beijing seeks to be essential. It controls the most valuable link – the defendant – and with it conditions global access to strategic metals of the 21st century. However, its power is not absolute: it depends on importing concentrates from countries such as Chile, Peru or Mexico. If any of those partners change position – Mexico, for example, 50% tariffs have already imposed Chinese products in 2025-, Beijing risks a cut of vital supplies. In addition, this control strategy has a price: Chinese copper foundations work with negative margins and some have had to close. A movement to counterreloj. Before the blockade, Germanio’s great consumers try to move quickly. On the one hand, in the United States, defense giant Larkheed Martin signed in August a direct agreement with the South Korea Zinc to ensure supply, something unpublished so far. Lightpath Technologies, with government support, works in optical alternatives, although its director Sam Rubin warns in ft: “No one is going to redesign an existing system until it is inevitable.” On the other hand, the options are scarce. Umicore in Belgium and Teck Resources in Canada produce some Germanio, but insufficient. Germany He already warns thatif the crisis lasts, its automotive industry could stop part of the production in a matter of weeks. The European Chamber of Commerce has even asked Beijin to release supplies for chips factories. The historical supplier, Russia, has also been out of the board. For years it was one of Germanio’s main sources for the West, thanks to its production associated with zinc and coal mining. However, international sanctions for the Ukraine War cut that flow almost completely. Moscow continues to produce, but its exports are now directed to China and countries that do not participate in the sanctions, According to FT. For the United States and Europe, that means having lost another supply route in the worst possible time, which has further reinforced Beijing’s domain. Looking to the future. In Germany, a group of researchers from the Technical University of Freiberg Work in a method surprising: extract Germanio from plants after fermentation processes for biogas. At the moment, they only achieve some milligrams per liter, but they aspire to reach a gram, which would open the door to a sustainable and local production. From anonymity to key element. Germanio has become a symbol of a new era: that of minerals as strategic weapons. As Financial Times has pointed outdemand does not stop growing while the offer narrows. And the lesson is clear: in an electrified and militarized world, who controls critical minerals will control power. Image | Freepik and Unspash Xataka | Nickel’s paradox: West needs it more than ever for electrification, but China and Indonesia have market dominance

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