Despite U.S., China surges in chip war, Bloomberg says – 7/22/2022 – Nelson de Sá

Nancy Pelosi, who is Speaker of the House in the United States, has not given up on her intention to visit Taiwan in the coming weeks, even in the face of Joe Biden’s Opposition and the Pentagon. And also from the Chinese Chancellery, which warns that it will respond with “force measurements” and that “we do what we say”.

Meanwhile, the Commerce Secretary explained in a statement and interview what’s at stake. “Our reliance on Taiwan for chips it’s unbearable“, said Gina Raimondo. “It’s scary that you allow yourself to think of a scenario in which the The United States does not have access to chipscrippling our production of military equipment.”

He was pushing for members of Congress to pass a billion-dollar package for U.S. chip or semiconductor makers, but it goes deeper. “There’s not much we can do to slow China down, but we have to. We have to deny China the technology that would give them an advantage, and we are doing that.”

Since Donald Trump, the United States has sought to ban chips with American technology from Taiwan from China. But the new week of threats and disagreements from the Democratic government ended in an unusual way, in Bloomberg’s most read report on Friday (22), “The largest chipmaker in China is catching up advance despite U.S. restrictions.

Shanghai-based giant SMIC produces semiconductors “with 7-nanometer technology, a measure of manufacturing complexity where narrower transistor widths” make the product faster and more efficient. It represents a “two-generation, sanctions-defying leap” for the company.

The news came earlier in Canadian TechInsights, which identified the technology of a bitcoin mining chip and assessed: “This is SMIC’s most advanced product to date, with significant implications for businesses. Chinese because it helps to reduce dependency Western technologies in this time of restricted access”.

Bloomberg waited two days to report, which it did after “a person familiar with the developments confirmed” the report – and also after shares of SMIC and other Chinese companies linked to the sector, such as Fudan, Naura and Amec, jumped up to 5% on the Hong Kong Stock Exchange.

A reference technological vehicle in Taiwan and mainland China, the DigiTimes, from Taipei, also published, based on TechInsights. And the financial caixin, from Beijing, reproduced the Bloomberg report. But the news, even by the silence of the minimum wage when asked, was treated with caution. It has the potential to deflate the pressure for war in Asia.


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Elmer Hayward

"Pop culture fan. Coffee expert. Bacon nerd. Infuriatingly humble communicator. Friendly gamer."

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