Belgium increasingly dependent on China for strategic goods
Belgium's dependence on China for imports of strategic goods has increased in recent years, according to a new study. Overall, the country's import dependence for such goods, which include metals and medicines, is limited.
Belgium relies heavily on countries outside the European Union for 5 to 6 per cent of the more than 9,000 goods it imports, according to a study by the country's Federal Planning Bureau. Strategic goods account for a smaller proportion of total imports.
Of the total value of imports into Belgium, strategic goods account for 1 to 2 percent. For such goods, Belgium is more dependent on the United States than on China, but its dependence on China is increasing while that on the United States is decreasing.
Chemicals and metals
Overall, the dependence on strategic goods from non-EU countries has remained relatively stable over the last decade. Often, the dependence was also temporary. For 81 strategic goods, mainly chemicals and metals, import dependence is persistent, according to the Planning Bureau.
Strategic goods imported from China include germanium, used as a semiconductor and in chemotherapy
China is the main exporter to Belgium for 11 of these strategic goods for which import dependence is persistent. These goods include germanium, which is used as a semiconductor in solar electric applications and in chemotherapy, among other things. Aromatic cyclic alcohols, used in medicines, and aluminium ores are also on the list.
High indirect dependency on China
A complete disruption of trade in strategic goods would have a "relatively limited impact" on the Belgian economy, according to the study. It estimates the impact at 2 per cent of manufacturing value added in the event of a disruption in imports.
Belgium is heavily dependent on non-EU countries for 5 to 6 per cent of exported goods
Belgium is also highly dependent on China indirectly, through international supply chains. This dependence applies to both imports and exports, including in the manufacturing of IT, electronic products and motor vehicles.
The situation is similar for exports. Belgium is heavily dependent on non-EU countries for 5 to 6 per cent of exported goods and 1 per cent for strategic goods. The United States is the main destination for these exports, followed by China.
Workers pack aluminium ingots at a factory in Huaibei, China, in 2022 © PHOTO STR / AFP
Related news
