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US targets China with probe into semiconductor industry



The White House launched a new investigation into China’s semiconductor industry on Monday as the Biden administration continues to take more aggressive action against Chinese technology over national security and trade concerns.

In a information sheetthe White House said China “routinely engages in non-market policies and practices, as well as industrial targeting, of the semiconductor industry” that harm competition and create “dangerous supply chain dependencies.”

The Biden administration said the Office of the U.S. Trade Representative would launch a Section 301 investigation to examine China’s targeting of semiconductor chips for dominance, an effort to see if the practices are unfairly harming US trade and take potential action.

The research will extensively investigate Chinese non-trade practices and policies related to semiconductors and examine how the products are incorporated into the defense, automotive, aerospace, medical, telecommunications and energy industries.

It will also examine the production of silicon carbide substrates or other wafers used as inputs for semiconductors.

The White House is doing extensive work to protect its supply of semiconductor chips, a critical technology that powers smart devices: by restricting agencies from sourcing certain products from Chinese entities and working with like-minded allies to secure a supply chain safer supply for technology.

President Biden is also bolstering U.S. semiconductor chip production and signed the Science and Chips Act of 2022 to support the domestic industry.

Earlier this month, so did Biden placed more than 100 Chinese companies chip manufacturing tool manufacturers on a restricted trade list, the latest use of export controls to weaken Beijing in the industry.

The move also blocked the sale of certain artificial intelligence chips, and US officials have warned that China’s acquisition of advanced chips poses a national security risk.

Biden has also targeted other Chinese industries, in one example double the fees earlier this month in solar panel components from China.



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