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FACTBOX-Materials targeted by EU, U.S. in China WTO case

Tue Jun 23, 2009 11:34am EDT

June 23 (Reuters) - The European Union and the United States are taking action against China at the World Trade Organisation over export restrictions on a number of industrial raw materials used in steel, cars, microchips, planes and other products. [ID:nLN887624]

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Brussels and Washington say Beijing continues to restrict exports of raw materials used in steel, semiconductors, aircraft and other products despite China's pledge to eliminate taxes and charges on exports when it joined the WTO in 2001.

Included in the materials expected to be covered by the case is a range of strategic minor metals, used in applications such as alloys, ceramics, mobile phones and light bulbs.

Some of these metals come from a limited range of sources and their supply can be vulnerable to interruption.

Here are the key uses of some of the listed materials:

BAUXITE

The most important aluminium ore, used for refining into alumina -- the raw material used to make aluminium.

FLUORSPAR

A mineral composed of calcium fluoride, or fluorite. Used to manufacture products such as aluminium, gasoline, insulating foams, refrigerants, steel and uranium fuel.

MANGANESE

Manganese is essential to iron and steel production because of its sulphur-fixing, deoxidizing, and alloying properties. Steelmaking, including its ironmaking component, has accounted for most manganese demand worldwide in the range of 85 percent to 90 of the total demand.

MAGNESIUM CARBONATE

A light white powdery compound used in a wide variety of manufactured products including inks, glass, cosmetics, toothpaste, rubber, plastics.

SILICON

Used in transistors, solar cells, rectifiers and other electronic devices like computer chips. It is also used to make concrete and bricks; in medicine for silicone implants. Silica, as sand, is a main component of glass.

SILICON METAL

Used in manufacture of special steels and cast iron, aluminium alloys, glass and refractory materials, ceramics, abrasives, water filtration, cosmetics, pharmaceuticals, paper, insecticides and textiles.

Fused silica is used as an ablative material in rocket engines, spacecraft, silica fibres used in reinforced plastics.

Silicon metal is important to the electronic industry as the base material used in the manufacture of semiconductors, microchips for computers and solar cells used to capture electrical energy from the sun.

TUNGSTEN

A wide range of uses. Tungsten and its alloys are used extensively for filaments for electric lamps, electron and television tubes, as electrical contacts for car distributors.

It is also used in heating elements for electrical furnaces, missile and other high-temperature applications. Many high-speed tool steels and many other alloys contain tungsten.

Tungsten carbide is important to the metal-working, mining, and petroleum industries; calcium and magnesium tungstates are widely used in fluorescent lighting.

YELLOW PHOSPHORUS

Used widely in many products including fire extinguishers, explosives, nerve agents, pesticides, detergents, animal foods and baking powder.

ZINC

Zinc is mainly used a protective coating for iron and steel since it has a relatively slow and predictable rate of atmospheric corrosion of zinc compared with steel.

This makes it especially useful as a protection against corrosion in steam boilers and on the hulls of steel ships.

It is also alloyed with copper to make brass. (Compiled by Jeremy Smith and Darren Ennis)



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