US-China tech war: Beijing can ‘stay cool’ on Biden’s US semiconductor push, analysts say
- Biden on Monday highlighted the need for the US to increase spending on domestic chip production
- Analysts say bigger problem for China is current ban on export of advanced US-origin technology
Biden on Monday highlighted the need for the US to increase spending on semiconductor manufacturing, making a reference to China, in a virtual meeting with tech and auto executives, including Alphabet CEO Sundar Pichai, Intel CEO Pat Gelsinger, General Motors CEO Mary Barra, Ford CEO Jim Farley as well as delegates from Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung.
“I’ve been saying for some time now, China and the rest of the world is not waiting, and there’s no reason why Americans should wait,” Biden said.
“We’re investing aggressively in areas like semiconductors and batteries; that is what they’re doing and others, so must we.”
However, the immediate impact on China from Biden’s semiconductor initiative, which lists chips and wafers as new infrastructure, is seen as limited by analysts, who say the most pressing problem for the country is the fact that it has been denied access to advanced US-origin technologies.