Economy

US Policy to Curb Chinese Chip Industry Could Backfire - South Korean Lawmaker

MOSCOW6 (Sputnik) - The US’ strategy to curb Chinese semiconductor industry, including attempts to persuade Asian allies to introduce restrictions against China, could lead to the disruption of supply chains and other countries forming alliances against the US, a South Korean lawmaker and former Samsung executive, Yang Hyang-ja said on Sunday.
Sputnik
The Washington's actions could also provoke a strong retaliation from China, which might lead to disrupting supply chains, she noted.
"If [Washington] continues to try to punish other nations and to pass bills and implement ‘America First’ policies in an unpredictable manner, other countries could form an alliance against the US," Yang said in an interview with a British business daily.
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"The US should abandon its current approach of trying to get something out of shaking and breaking the global value chain," South Korean lawmaker said.
The US has been conducting policy aimed at thwarting the growth of China's semiconductor industry as the US developed its own microchip capabilities. In October 2022, the US restricted 28 Chinese tech companies from accessing semiconductor schematics that are produced around the world using US technologies.
In April, the British daily reported that the US had asked South Korea to restrict semiconductor exports to China after it launched a security probe into US chip giant Micron. In May, Chinese authorities banned critical infrastructure operators from buying the company's products, claiming that it posed a national security risk to Beijing.
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