(Reuters) – Volkswagen said on Thursday it was monitoring the situation in commodity markets after China announced export controls on certain metals, and said it was “ready to take action with partners if necessary”.
China’s Ministry of Commerce, Wang Wentao, said on Monday it wants to require export permits for certain gallium and germanium products starting Aug. 1 to protect national security. The move has reignited fears of further disruptions and supply shortages in the global industry.
A Volkswagen spokesman told Reuters that gallium and germanium were important resources for automotive products and self-driving car technologies.
On Wednesday, Stellantis chief executive Carlos Tavares also reacted, saying a complete break with China was neither realistic nor in the interests of Western companies.
“I think we just have to find areas where we can calm things down and negotiate win-win situations.”
The boss of the world’s third-largest automaker by turnover also added that it “is up to the European Union to work with the Chinese authorities to find a solution”.
(Report Jan Schwartz, written by Anna Mackenzie, Gaëlle Sheehan and Stéphanie Hamel, edited by Blandine Hénault)
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