International Gallium Buyers Stepped Up Hoarding, The Industry Supply And Demand Situation Is Tight, Global Gallium Prices Rose 27%

Freiberger Compound Materials, the world's largest purchaser of gallium, said recently that after China plans to implement export control policies on gallium, its customers are crazy to hoard the company's special semiconductor wafers produced using gallium metal, and the industry supply and demand situation is very tight. Freiberger is estimated to consume dozens of tons of gallium a year, about 10 percent of global production, and is almost entirely dependent on China for its feedstock supply. Freiberger Chief Executive Michael Harz said his company's Chinese suppliers were currently providing the data needed to obtain export licenses, and deliveries would stop when export controls took effect on August 1 and resume about a month later, but there was no reliable information yet. It is reported that after China announced the implementation of export controls on gallium and germanium related items, many international gallium buyers have begun to step up stockpiling. Global gallium prices rose 27% last week. Gallium and germanium are both high-value products that are produced in small quantities, and traders typically do not hold large inventories.