The Pentagon has a strategic stockpile of germanium, but it lacks gallium reserves. Germanium is more common and essential for semiconductors used in defense applications. Gallium, while used in specialized semiconductors, is not as critical to the defense supply chain.
In July 2023, China imposed export restrictions on gallium and germanium products, raising concerns about the security of U.S. supply. The Pentagon aims to increase domestic production of gallium and germanium, but it will require time to build up reserves.
Reasons for the Pentagon’s strategic germanium stockpile and lack of gallium reserves include:
- Germanium reserves worldwide are estimated to be about 10 times greater than gallium reserves.
- Germanium is more essential for a wide range of semiconductors, including those used in radar, radio communication devices, satellites, and LEDs.
- The U.S. has a larger domestic germanium industry (producing 60% of the world’s germanium) compared to its gallium industry (producing only 10% of the world’s gallium).
The Pentagon’s decision reflects the relative importance of germanium and gallium in the defense supply chain. However, recent export restrictions by China highlight the need for increased domestic gallium production. The Pentagon is taking steps to address this, but it will take time to build up reserves.
