China's Market Strategy: Retaliation Over Semiconductor Controls

China endanger retaliation Against Netherlands and Japan Over bit export Controls

Chinese state medium and official have publish warning to the Netherlands and Japan , goad them not to comply with Washington 's request to tighten bit export control aim at China . The Global Times , a mouthpiece of the Chinese Communist Party , has state that if the Dutch government follow the US directive to arrest care services for high - end DUV lithography machine in China , Beijing will return match countermeasure , such as enforce trade restriction or research option supplier . This semen after report that Dutch Prime Minister Dick Schoof may not regenerate certain ASML license to service and supply spare_part parts in China at the end of this year.

The Biden administration has see exploitation the United States Foreign Direct Product Rule ( FDPR ) to prevent other state from exporting merchandise exploitation US - originate technology to China . negotiation are ongoing between the involve party , with a focus on reconciliation the economic interest of company like ASML , a crucial industry for the Netherlands . The US has refrain from raise the FDPR against its Allies , as it purpose to discovery a diplomatic resolution instead.

Japan face economic retaliation from China Over Chipmaking equipment gross_sales Restrictions

China has endanger severe economic retaliation against Japan if Tokyo enforce foster restriction on the sale and servicing of chipmaking equipment to Chinese firm . This complicate US - light-emitting_diode attempt to limit China 's entree to advance technology . senior Chinese official have convey this stance during Holocene meeting with Japanese counterpart . Toyota Motor Corp. has express concern that Beijing could cut off Japan 's entree to critical mineral necessity for automotive production in response to new semiconductor controls.

The US has been coerce Japan to tighten restriction on the sale of advance chipmaking tool to China , lead to negotiation between the two state . The Biden administration is confident in reach an agreement with Japan by the end of this year . However , more aggressive option , like the Foreign Direct Product Rule ( FDPR ) , are being see . The US has refrain from enforce the FDPR against Japan and other Allies but is fix to bash so if necessary.

It is crucial for Japan to voyage these discussion carefully , especially amid political passage and global economic uncertainty . The Commerce Department , Ministry of Economy , Trade and Industry , and company like Toyota and Tokyo Electron are closely monitoring the situation . The Chinese Foreign Ministry has stress resistance to politicize trade and technology blockade against China , highlight the need for diplomatic solution and cooperation among nations.

deduction of bit export control on global semiconductor Industry

The ongoing argument surround bit export control and restriction on technology transportation rich_person significant deduction for the global semiconductor industry . company like ASML and Tokyo Electron have see increase gross_sales in China following the execution of export control by the US . The Biden administration is under pressure to procure agreement with Allies to align their measure with US regulation on bit exports.

attempt to balance economic interest , national security concern , and diplomatic relations are at the forefront of discussion between major player such as the US , China , Japan , and the Netherlands . The impact of potential restriction on critical mineral , advance chipmaking tool , and high - bandwidth memory french_fries could rich_person far - reach effects on the supply chain and technological invention worldwide . As tension escalate , determination park land and fostering cooperation will be necessity to voyage the complex landscape of International trade and technology policy.