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Japan protests Chinese export controls on dichlorosilane, a key chemical used in computer chip manufacturing.

Japan has protested against Chinese controls that will limit its exports of dichlorosilane, a key chemical used to manufacture computer chips. The administration of China imposed the curb on imports from Japan, stating that the material violated anti-dumping regulations and harmed China’s domestic industry.

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Beginning Tuesday, companies importing the chemical from Japan, including Shin-Etsu Chemical and Denal Silane, must provide cash deposits to China’s customs at rates of up to 99.2%. China stated the measure is provisional while an investigation continues. Japan’s top government spokesperson, Minoru Kihara, stated that Tokyo is studying the potential impact on Japanese companies and will respond appropriately to avoid unfair harm. Japan is the leading producer of ultrapure dichlorosilane for computer chip fabrication. The chemical is used in a chemical vapor process to deposit thin layers of silicon, oxide, or other films in semiconductor logic and memory chips. The measure comes amid strained relations between China and Japan since November, following comments by Japanese Prime Minister Sanae Takaichi regarding potential Japanese military intervention in Taiwan.

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