US Semiconductor Ban On China Will Force Chinese To Grow Own Chip Industry - US Investor
Sumaira FH Published December 12, 2022 | 12:30 PM
WASHINGTON (UrduPoint News / Sputnik - 12th December, 2022) The Biden administration's new restrictions to limit China's access to advanced US semiconductor technology will force the Chinese to strengthen their own chip industry that may become a competitor in a few years, US investor Jim Rogers told Sputnik.
In October, the Biden administration expanded controls on the export of US semiconductor technology going to China to restrict Beijing's ability to make certain high-end microchips used in military applications.
"This will cause the Chinese to spend more money developing a semiconductor industry," Rogers said. "It is going to hurt America in the long run because we, the Americans, are forcing the Chinese to develop their own semiconductor industry."
The Biden administration aims to make America less dependent on China for semiconductor fabrication. Earlier this year, US President Joe Biden signed legislation which included $52 billion in subsidies for domestic semiconductor manufacturers that the White House expects would create at least 40,000 jobs in the United States.
The Chinese Foreign Ministry said the United States abuses export control measures to target Chinese companies, while preserving its own technological hegemony. Beijing also said Washington's policy departs from the principle of fair competition and violates international economic and trade norms.