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The podcast discusses the ongoing trade war between the US and China over semiconductor chips, the control and supply chain of chips, China's warning shot of curtailing gallium and germanium, the distinct behaviors of wolves compared to dogs, and the supply chain dynamics between the US and China.
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- The US aims to cut off China's ability to create advanced technology and maintain dominance in the semiconductor supply chain.
- The Biden administration's restrictions on chip exports to China are driven by a shift in the perception of the US-China relationship, aiming to maintain a significant lead in technological advancements and ensure the US's dominance in critical technologies.
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Trade War Between US and China over Semiconductor Chips
The US and China are engaged in a prolonged trade war over semiconductor chips that started a few years ago. This week, China restricted the export of gallium and germanium, rare earth materials crucial for semiconductor chips. This move is a response to the US's decision last fall to stop selling advanced chips and the technology to make them to China. These chips are essential for various industries, including artificial intelligence. The US aims to cut off China's ability to create advanced technology and maintain dominance in the semiconductor supply chain.
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