South China Morning Post (SCMP)

China Halts Key Chemical Export as Iran Tensions Rise, Threatening Global Supplies

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China Halts Key Chemical Export as Iran Tensions Rise, Threatening Global Supplies
China has reportedly halted exports of sulphuric acid, a vital industrial chemical. This move coincides with the collapse of U.S.-Iran peace talks. Together, these events threaten to disrupt global supply chains and push prices higher. Sulphuric acid is essential for mining metals and producing fertilizer. There are few easy substitutes for it. The reported export ban, said to begin in May, was noted by industry analysts Acuity Commodities and Bloomberg. Chinese officials have not yet confirmed the policy. Economists link the potential ban to China's focus on domestic food security. By keeping more sulphuric acid at home, China can support its own fertilizer production and agricultural needs. Meanwhile, the failure of diplomatic talks between the United States and Iran raises fears of renewed conflict in the Middle East. This region is critical for global oil and shipping routes. Increased tensions could further strain supply chains already nervous about the chemical shortage. The combination of a key chemical export halt and rising geopolitical risk is creating new uncertainty for industries worldwide. Markets are watching for official confirmation from Beijing and for developments in the Middle East.