China-Japan Trade Tensions: Chemical Wars and Diplomatic Rifts

China launched an investigation into dichlorosilane imports from Japan, intensifying trade tensions after imposing export curbs on dual-use goods. The move follows geopolitical disagreements involving Taiwan, raising concerns over rare earth supplies. Meanwhile, China strengthens ties with South Korea, signing cooperation agreements amidst the ongoing diplomatic rift with Japan.

In a significant escalation of trade tensions, China launched an investigation into Japanese imports of dichlorosilane on Wednesday, a day after restricting exports of dual-use goods to Japan, which could potentially bolster Tokyo's military capabilities.

The Chinese Commerce Ministry cited a 31% price drop in the chemical gas imported from Japan between 2022 and 2024 as the cause, blaming the decrease for harming domestic industry operations. This decision comes amid geopolitical riffraff following remarks by Japanese officials concerning Taiwan, which Beijing views as a provocative stance.

Amid these tensions, Beijing is simultaneously nurturing a strategic alliance with South Korea. During a four-day visit, South Korean President Lee Jae Myung and Chinese President Xi Jinping forged collaborations in technology, trade, and environmental protection, setting a stark contrast with the fraught China-Japan relations.

(With inputs from agencies.)