China’s imposition of comprehensive export controls on synthetic diamonds represents a strategic maneuver targeting the foundational materials of America’s high-tech and defense industries. While often associated with jewelry, industrial diamonds are indispensable for 5G semiconductors, quantum computing, and aerospace applications due to their unmatched hardness and thermal conductivity. China currently dominates this sector, producing 95% of the global supply and providing 77% of U.S. synthetic diamond powder imports, nearly all of which support semiconductor manufacturing. These new regulations specifically restrict micropowders and single crystals essential for heat dissipation in sub-3nm chips and infrared seeker heads in missiles. As the U.S. lacks immediate domestic alternatives or comparable international suppliers, these controls threaten the pace of American AI advancement and reindustrialization efforts, forcing a reliance on dwindling stockpiles or diplomatic negotiations to maintain technological stability.
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