US Secretary of Commerce Gina Raimondo is taking a strong stance against China's ban on the use of Micron chips, stating that the US will not tolerate such 'economic coercion'. She argues that China is targeting a single American company without any factual basis, as reported by Bloomberg.
Raimondo asserts that the ban is seen as economic coercion by the US and will not be accepted. She believes that China's actions will not be successful, and the country is now considering its next steps in response to this issue, according to the Minister of Economic Affairs. However, Raimondo did not provide a direct response to US lawmaker Mike Gallagher's proposal to impose trade restrictions on ChangXin Memory Technologies, a Chinese manufacturer of memory chips, as reported by Reuters.
China's ban on the use of Micron chips by operators of critical Chinese infrastructure, such as the telecom sector and state-owned banks, raised concerns in the US. China claims that Micron's products do not meet its security standards and could pose serious risks to network security. However, China has not specified which specific Micron products are subject to the ban.
The ongoing tensions between the US and China over technology and trade issues have escalated in recent years. The US government has taken various actions to address what it perceives as unfair practices by Chinese companies, particularly in the technology sector. In response, China has implemented its own measures to protect its domestic industries and assert its economic power on the global stage.
One of the key issues in the US-China tech rivalry is the competition for dominance in the semiconductor industry. Semiconductors are crucial components in a wide range of electronic devices, from smartphones to satellites. Both countries are striving to develop their domestic semiconductor industries to reduce dependence on foreign suppliers and secure a strategic advantage in this critical sector.
While the US has long been a leader in semiconductor innovation, China has made significant investments in its semiconductor industry in recent years. The Chinese government has implemented various policies to support the development of domestic semiconductor companies and promote indigenous innovation in key technologies.
However, China's rapid expansion in the semiconductor industry has raised concerns in the US and other countries about potential national security risks. There are fears that Chinese companies could use their growing technological capabilities to develop advanced weapons systems or conduct cyber espionage against foreign targets.
In response to these concerns, the US government has imposed restrictions on the sale of certain technology products to Chinese companies and blacklisted Chinese firms that are deemed to be a threat to national security. These measures have increased tensions between the two countries and prompted China to retaliate with its own trade restrictions on American companies.
The conflict between the US and China over technology and trade issues is likely to continue in the coming years as both countries seek to assert their economic power and technological prowess on the global stage. The outcome of this rivalry will have far-reaching implications for the future of the semiconductor industry and the broader geopolitics of the tech sector.
As the US and China navigate their complex relationship in the technology sector, the challenge will be to find a balance between promoting innovation and competition while addressing legitimate security concerns. The resolution of these issues will require cooperation and dialogue between the two countries to prevent further escalation of tensions and promote a more stable and secure global technological ecosystem.
English (US)