US-Japan alliance restricting vital tech exports to China risks ‘major impact’ on trade, supply chains
- Tokyo and Washington are mulling a multilateral framework to regulate the export of advanced tech to China, according to Japan’s Yomiuri newspaper
- Experts say restrictions would be hard to implement because of potential supply chain disruptions, and risk severe damage to China-Japan trade
An alliance between the United States and Japan to ban exports of sensitive technology to China risks upending trade ties between Beijing and Tokyo and would be “complex” to implement, analysts say, as the global battle for tech supremacy intensifies.
The two countries are also planning to work with allies in Europe on the issue amid heightened concern about Beijing’s military-civil fusion strategy.
The Japanese embassy in Beijing declined to comment on the report.
If the new framework is made, it will have a major impact on Japan-China relations
Lu Xiang, a research fellow in US studies at the Chinese Academy of Social Sciences, said it was difficult to know what form the restrictions might take, but discussions between the US, Europe and Japan would be a certainty this year.
“I wouldn’t be surprised if they are making a huge amount of effort on how to [coordinate] export control, but in reality, it’s very complex because their own companies could see limitations and losses,” Lu said.