Mitsubishi Taps Kazakhstan for Gallium, Hedging Against China's Grip on EV Metals
Mitsubishi Corp. will begin importing gallium from Kazakhstan in 2026, a strategic move to reduce Japan's reliance on China for the metal crucial to EVs and semiconductors.
Japanese trading giant is set to begin importing the critical metal gallium from Kazakhstan starting in . It’s a direct move to diversify Japan's supply chain for the metal—essential for EV components and advanced semiconductors—away from the world's top producer, China.
Why Gallium is a Geopolitical Flashpoint
Gallium isn't a household name, but it's vital for high-growth tech sectors. Its unique properties make it critical for power-efficient chips used in electric vehicles and 5G infrastructure. The problem for global manufacturers? China dominates its production, creating a significant bottleneck and a point of geopolitical leverage.
According to a report from Nikkei, this move by highlights a growing urgency among G7 nations to de-risk their supply chains. The fear is that Beijing could restrict exports of key materials, as it has with other rare earths in the past, effectively crippling key industries overnight.
Japan Inc.'s Broader 'China Plus One' Strategy
This isn't an isolated deal. It's part of a concerted effort by both the Japanese government and its largest corporations to build resilient supply chains. From rare-earth processing to graphite production, Japanese firms are actively seeking partners and investment opportunities outside of China.
The choice of Kazakhstan is also strategic, signaling a broader pivot towards Central Asia as a source for critical resources and a new frontier for infrastructure investments. It’s a clear signal that the global map for strategic commodities is being redrawn.
This isn't just about swapping one supplier for another; it's a strategic shift toward Central Asia. For investors, this signals growing interest and capital flows into the region's resource and infrastructure sectors, opening potential new opportunities as Western and Japanese firms seek credible alternatives to China.
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