signed by US President Joe Biden The Chip and the Law of Sciencewill support the industry with $280 billion. However USAwants to shut down factories in countries that pose a “national security threat”, such as China. Chinese on the other hand, believes that the US is violating global trade principles with the new chip law.
China attacks the US over the new chip law
Yesterday, the US took the first step against the semiconductor chip crisis. The country, which is trying to increase technological competition against China, has $ 52 billion in semiconductors. 280 billion dollars sectoral support will give. This situation seems to have angered trade associations in China.
The Chinese government has long said that the US chip law will create unfair competition. He stated that the support of 280 billion dollars will not solve the global chip supply and will even break the chain even more. China’s Ministry of Commerce stated that it will take measures to protect China’s rights and interests.
Biden signed it! $280 billion support from the USA to the chip crisis
The US chip law is finally going into effect. The new law, which aims to solve the semiconductor crisis, will provide companies with $280 billion in support.
The new law, passed by Biden, aims to increase the US market share in chip manufacturing from 2 percent to 10 percent in the next 10 years. However, the US argues that companies that will receive subsidies should leave China.
“America invented the semiconductor, but today it produces about 10 percent of the world’s supply and none of the most advanced chips. “Instead, we rely on East Asia for 75 percent of global production,” he said.
China International Trade Development Council and China International Chamber of Commerce He said that action should be taken against this decision. Stating that they do not accept the force of the USA against semiconductor companies, the chambers underlined that they will work with international companies.
USA’s main Intel, GlobalFoundries and micron expected to pay companies such as with production lines in China Samsung and of TSMC It is not yet clear whether they will benefit from these subsidies.
So what do you think about the chip crisis between the USA and China? You can share your views with us in the comments section.