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The United States government has taken a bold step in the technology sector by calling for an investigation into China’s alleged anti-competitive practices within its semiconductor industry.
In a recent statement, the White House announced that it has instructed the Office of the US Trade Representative (USTR) to initiate an inquiry into China’s actions regarding foundational semiconductors. These critical components are used in various sectors such as the automotive, healthcare, infrastructure, aerospace, and defense industries.
The investigation aims to scrutinize “acts, policies, and practices” that allegedly reduce or eliminate competition within the semiconductor market. The administration has accused China of consistently engaging in non-market activities and industrial targeting, which have severely impacted its competitors and created dependence on supply chains.
This development comes as no surprise, given the already strained relations between the US and China. In February, President Biden launched an investigation into vulnerabilities and threats posed by connected vehicles, specifically naming China as a potential culprit. Subsequently, in May, the White House introduced significant tariffs on $18 billion worth of Chinese imports, including semiconductors.
China’s Ministry of Commerce has strongly condemned the US move, expressing its opposition to the investigation. The nation vowed to take all necessary measures to safeguard its rights and interests.
It is essential to monitor this situation closely as it unfolds, as it may have far-reaching implications for the global tech industry and beyond.
Source: www.engadget.com
