The Chinese government has sharply criticized the United States’ introduction of new export controls on semiconductors, which Washington fears Beijing could use to manufacture the next generation of weapons and artificial intelligence (AI) systems.
The new measures, unveiled by the Biden administration, have raised the political temperature between the world’s two largest economies ahead of President-elect Donald Trump’s imminent inauguration.
Chinese leader Xi Jinping has made self-sufficiency an important pillar of his economic strategy to make China a technological superpower.
On Monday (2), the US Department of Commerce announced restrictions on the sale of two dozen types of semiconductor manufacturing equipment and restrictions on the access of several Chinese companies to American technology.
The purpose of the new controls, U.S. Commerce Department officials said, was to slow China’s development of advanced AI tools that could be used in warfare and undermine the country’s domestic semiconductor industry, threatening U.S. national security and your allies.
China’s Ministry of Commerce condemned the move, accusing the United States of “abusing” export controls and posing “a significant threat” to the stability of global industrial and supply chains.
“The US preaches one thing while practicing another, excessively expanding the concept of national security, abusing export control measures and engaging in unilateral intimidation. China firmly opposes such actions,” the ministry said in a statement on Monday (2).
A day later, it completely banned the sale of a series of materials crucial for the production of semiconductors and electric vehicle batteries to Americans.
The export of gallium, germanium, antimony and other “superhard” materials will not be allowed because they can be used for military purposes, according to the ministry.
China restricted sales of some of these materials last year as technological rivalry between the two sides escalated.
However, there was previously an option for companies to apply for special licenses to export to the US, a loophole that now appears to be closed.
The race for an edge in military technology has shaped U.S.-China relations amid growing American concerns about a possible Chinese invasion of Taiwan in the coming years.
China’s Communist Party, which claims the self-ruled democratic island as its territory despite never controlling it, has adopted an increasingly aggressive stance toward Taiwan in recent years.
“Strongest-ever” controls
Senior US officials have also accused China of openly stealing US-made Artificial Intelligence software, which Beijing denies.
“These are the strongest controls ever enacted by the Americans to degrade China’s ability to manufacture more advanced chips,” Commerce Secretary Gina Raimondo told reporters on Sunday (1).
The new rules include restrictions on the sale of high-throughput memory chips, essential for cutting-edge applications such as generative AI training, as well as new software and technology controls.
Monday’s announcement is the third round of export restrictions imposed on Beijing by the Biden administration in recent years.
Last October, the Commerce Department reduced the types of semiconductors that American companies can sell to China, citing a desire to close loopholes in regulations announced in 2022.
In September, the Commerce Ministry separately proposed a ban on the sale or import of smart vehicles that use specific Chinese or Russian technology, citing security concerns.
The new Trump administration has also spoken tough on China, threatening tariffs.
For its part, China is stepping up its own goal of mastering advanced technologies of the future.
In May, Beijing announced plans to create the largest state investment fund in semiconductors, worth US$47.5 billion.
With contributions from six of the country’s largest state banks, including ICBC and China Construction Bank, the fund highlights Xi’s effort to reinforce China’s position as a technology giant.
This content was originally published in China criticizes latest US effort to block access to chip technology on the CNN Brasil website.
Source: CNN Brasil
Bruce Belcher is a seasoned author with over 5 years of experience in world news. He writes for online news websites and provides in-depth analysis on the world stock market. Bruce is known for his insightful perspectives and commitment to keeping the public informed.
