Core Viewpoint - The recent export control on artificial diamond powder by China is a strategic move aimed at countering U.S. dominance in the semiconductor industry, highlighting the increasing tensions in U.S.-China relations [2][4][24]. Group 1: Export Control Announcement - China's Ministry of Commerce and General Administration of Customs announced that artificial diamond powder with an average particle size of ≤50 microns will be subject to export controls, effective November 8 [2][24]. - This regulation directly targets the U.S. semiconductor industry, which relies heavily on Chinese diamond materials, with over 70% of chip-grade diamond raw materials imported from China [4][24]. Group 2: Importance of Diamond in Technology - Diamonds, known for their exceptional hardness and thermal conductivity, are critical in various high-tech applications, including semiconductor manufacturing and precision processing [6][9]. - The thermal conductivity of diamond is reported to be 2000 W/(m·K), significantly higher than that of copper and silicon, making it essential for advanced chip cooling solutions [8][9]. Group 3: China's Dominance in Diamond Production - China has emerged as the global leader in the diamond industry, with a production capacity that far exceeds that of developed countries, capturing 80% of the global diamond powder market [13][20]. - The city of Zhecheng in Henan Province has developed a complete industrial chain for diamond production, producing 10 million carats of cultivated diamonds annually [20][22]. Group 4: Strategic Implications of Export Controls - The export control on diamond powder is part of a broader strategy by China to leverage its material advantages in high-tech industries, similar to previous controls on rare earth elements [24][26]. - The regulation allows for civilian use while restricting military and semiconductor applications, effectively maintaining a balance between global supply and national security [24][26].
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