US-China ‘Chip War’ may intensify

US-China ‘Chip War’ may intensify

Beijing/Washington: The United States has started vigorous activities to challenge China’s lead in the semiconductor sector. New provisions have been made to ensure that the advanced technology of Western countries, including the United States, does not fall into the hands of China. Countries like Japan and South Korea are also being prevented from cooperating with China. In response to these US activities, China has banned exporting two rare minerals essential in the semiconductor sector. Due to China’s antics, the US-China ‘chip war’ that has been going on for the last few years shows signs of intensifying.

'Chip War'Former US President Donald Trump alleged that US technology and other resources are being looted by China’s Communist regime, companies, and other means. Trump also took action against it by launching an anti-China trade war. Due to the sanctions imposed by China during the Corona era, western companies suffered huge losses. Given this, western companies had initiated steps to reduce their dependence on China. US Biden administration appealed to US companies in the technology sector to invest and produce in the United States itself.

Along with this, an anti-China group has been formed with the help of allied nations in Europe and Asia. Besides, they have initiated action against Chinese companies. Thus, China’s intention to achieve supremacy in the semiconductor sector of advanced technology has suffered a major setback. China has been left behind because it refuses to provide the technology and equipment to make advanced chips. Due to this, there is restlessness in the communist regime, and now the demand to teach a lesson to Western countries and the United States has intensified.

'Chip War'The new decision made by China’s Ministry of Commerce is understood to be part of the same strategy. According to this decision, restrictions on the export of gallium and germanium, two rare minerals essential for the semiconductor sector, will occur in August. China’s Ministry of Commerce has clarified in its request that this decision be taken from the point of view of security and national interest. In such a situation, China’s official mouthpiece, the Global Times, has described this decision as a ‘first warning’ for the United States. By citing former Chinese minister Wei Jianguo, the ‘Global Times’ stated in an article that the new ban was a big blow.

Meanwhile, gallium and germanium minerals are used in the semiconductor sector, manufacturing telecommunications and military equipment. Moreover, Eighty per cent of the world’s rare minerals are in China.

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