🛑 Eh, China Makin’ Big Move fo’ Stop Micron an’ Escalate Da Microchip Clash wit’ U.S.!” 🇨🇳💥
Da Chinese government wen’ put one block on Micron Technology’s memory chips, an’ dis show how much da two economic powahs stay driftin’ apart on tech policy. Wen’ come to cuttin’ off foreign tech companies from Chinese supply chains, Beijing usually wen’ do ’em kind of indirectly or even in secret. Regulators would give da company executives private talks, bury ’em undah excessive paperwork, o’ sometimes even raid da offices. But dis time, dey wen’ tell Micron straight up dat dey no mo’ welcome. 🚫💻🔐
Da Chinese government wen’ ban companies dat handle critical info from buying Micron’s microchips. Dey say da chips, which get used fo’ memory storage in all kine electronics like phones an’ computers, get “relatively serious cybersecurity problems” according to China’s internet watchdog aftah one review. Micron stay “evaluating” da government’s decision an’ “assessing” wat dey goin’ do next. Analysts say dis action could cut Micron out of future business from Chinese companies even though dey been sellin’ chips in China fo’ years. 🇨🇳💻🚫🔒
Dis move by da Chinese authorities fo’ take action against Micron, especially aftah less than two months of investigation, show how much dey stay driftin’ apart from da U.S. on tech policy. Last year, da Biden administration wen’ take strong steps fo’ block Chinese chip makers from gettin’ crucial tools fo’ make advanced chips, as well as access to da chips dat run supahcomputers an’ develop powerful artificial intelligence algorithms. Dis action from China, seen by many as retaliation fo’ dem moves, show dat China get some advantages ova da U.S., like one quick an’ feared authoritarian rule dat can make absolute bans real fast. It also show some new tactics from Beijing. 🛑🇨🇳💻💨
By blockin’ Micron, da Chinese authorities make room fo’ Chinese chip makers fo’ fill in da industry. Dis move can also create more tension between da U.S. an’ its allies, since companies from dem countries could make plenny money if dey step in an’ pick up da business dat Micron might lose. 🔄🛠️💸
Fo’ Beijing, hurtin’ one American company dat make critical equipment help dem boost da domestic tech sector. “We no need replace all products wit’ domestic ones, but fo’ these core products, we gotta develop our own capabilities an’ not depend too much on others,” said Xiang Ligang, one director of one Beijing technology consortium dat give advice to da Chinese government on technology issues. “Dis not only apply to da chip industry but also otha sectors,” he added. 🛠️🇨🇳💼
Fo’ almost one whole decade, China an’ da U.S. been jockeyin’ fo’ global technological leadahship. Da Chinese hacks on American companies an’ policies fo’ acquire closely held intellectual property raised concerns in Washington. In Beijing, revelations from Edward J. Snowden, da former U.S. intelligence contractor, show da risk of relyin’ too much on American tech. As both sides try fo’ find new advantages, dey focus on da semiconductor industry. Dem small microchips dat do da thinkin’ fo’ almost every electronic device stay one convenient choke point fo’ da U.S., an’ dey try cut off China’s access to da smallest an’ fastest chips. Da goal stay fo’ make China’s supahcomputers less smart an’ its smartphones less marketable. 🧠📲💻
To fight back, China wen’ give big subsidies to domestic chip leadahs. Even though dey no catch up to global rivals wit’ da most advanced chips, some companies succeed wit’ less complex parts like memory chips an’ larger logic chips dat go in cheaper smartphones an’ cars. Den, da Biden administration wen’ announce major policies in October fo’ go against China’s most successful semiconductor companies. Dis, along wit’ billions in new subsidies fo’ chip production in da U.S., no sit well wit’ Chinese policymakers. “Beijing been complainin’ ’bout U.S. actions fo’ da past months,” said Paul Triolo, senior vice president fo’ China at Albright Stonebridge Group, one strategy advisement firm. “Dey think da U.S. actions motivated by politics, so now dey goin’ retaliate,” Mr. Triolo added. 🔄🇺🇸🛠️🔥
In some ways, China mo’ prepared fo’ dis kind of back an’ forth. Dey got one authoritarian system dat allow dem fo’ take quick action, an’ dey make sure only few domestic companies go against da government’s policy. In da U.S., political debates an’ legal challenges can make government efforts less effective. Big American companies, fo’ example, find ways around Washington’s attempt fo’ stop sellin’ components to companies like Huawei. Some multinational corporations even get licenses fo’ keep sellin’ to blacklisted companies. 🇺🇸🤝🛠️🔓
By specifically targetin’ Micron, China goin’ aftah one sector—memory chips—that dey already got some presence in when it come to competition wit’ da U.S. fo’ chips. While protectin’ dat success by keepin’ American competitors out make sense strategically, China still gotta rely on da U.S. fo’ advanced chips, like Teng Tai, one economist an’ director of da Wanbo New Economic Research Institute in Beijing, pointed out. “Da ultimate goal fo’ retaliatin’ against Micron is fo’ make certain American companies check themselves, so we can promote technology an’ trade cooperation an’ avoid goin’ down one isolated path,” he wrote on Weibo, one Chinese social media platform. 🔄🛠️🇨🇳🌐
One question dat dis action against Micron bring up is how South Korea, one U.S. ally, goin’ respond. South Korean companies like Samsung an’ SK Hynix can benefit da most from dis Micron ban. Dey can take over Micron’s customers, an’ Micron made $3.3 billion in sales in China in 2022. Mr. Xiang, da Chinese government adviser, question why South Korea gotta blindly follow da U.S. an’ harm its own interests. He no think South Korea gotta obligation fo’ do dat. 🇰🇷🤝🛠️💼
Da clash between China an’ da U.S. in da tech industry goin’ have long-lastin’ effects on both countries an’ da global market. As dis battle continues, da world watchin’ closely to see who goin’ come out on top. But one thing fo’ sure, da competition stay heatin’ up, an’ it no look like it goin’ cool down anytime soon. 🌐🔥🔥
NOW IN ENGLISH
🛑 China Makes Big Move to Stop Micron and Escalate the Microchip Clash with U.S.!” 🇨🇳💥
The Chinese government has imposed a block on Micron Technology’s memory chips, highlighting the growing divide between the two economic powers in terms of tech policy. When it comes to cutting off foreign tech companies from Chinese supply chains, Beijing typically employs indirect or secretive tactics. Regulators would engage in private discussions with company executives, burden them with excessive red tape, or occasionally conduct office raids. However, this time, they have directly informed Micron that they are no longer welcome. 🚫💻🔐
The Chinese government has prohibited companies involved in handling critical information from purchasing Micron’s microchips. These chips, used for memory storage in various electronic devices such as phones and computers, have been deemed to have “relatively serious cybersecurity problems” following a review by China’s internet watchdog. Micron has stated that it is currently evaluating the government’s decision and assessing its next steps. Analysts believe that this action could result in Micron being excluded from future business opportunities with Chinese companies, despite having sold chips in China for many years. 🇨🇳💻🚫🔒
The swift and decisive action taken by the Chinese authorities against Micron, completing their investigation in less than two months, underscores the widening gap between the two sides in terms of tech policy. Last year, the Biden administration implemented strict measures to restrict Chinese chip makers’ access to essential tools required for manufacturing advanced chips, as well as access to chips utilized in supercomputers and powerful artificial intelligence algorithms. The retaliation against Micron, widely seen as a response to these moves, demonstrates some of China’s advantages over the United States: a fast and feared authoritarian rule that can swiftly impose absolute bans. It also reveals Beijing’s employment of new tactics. 🛑🇨🇳💻💨
By blocking Micron, the Chinese authorities have created an opportunity for domestic chip makers to fill the void in the industry. This move could also introduce a new source of tension between the United States and its allies, as companies from these countries could potentially benefit financially by stepping in and capturing the business that Micron might lose. 🔄🛠️💸
For Beijing, damaging an American company that produces critical equipment aligns with the government’s objective of promoting the growth of its domestic tech sector. Xiang Ligang, a director of a Beijing technology consortium that advises the Chinese government on technology issues, stated, “While it may not be feasible or necessary to completely replace all products with domestic ones, we need to develop our own capabilities and avoid excessive reliance, particularly for these core products. This principle applies not only to the chip industry but also to other sectors.” 🛠️🇨🇳💼
For nearly a decade, China and the United States have been engaged in a competition for global technological leadership. Chinese cyberattacks on American companies and policies aimed at acquiring closely guarded intellectual property have raised concerns in Washington. In Beijing, revelations from Edward J. Snowden, the former U.S. intelligence contractor, highlighted the risks associated with overreliance on American technology. As both sides seek to gain advantages, their focus has turned to the semiconductor industry. These small microchips, which power almost all electronic devices, have become a convenient choke point for the United States, which aims to limit China’s access to the smallest and fastest chips. The goal is to make China’s supercomputers less advanced and its smartphones less marketable. 🧠📲💻
In response, China has provided substantial subsidies to domestic chip leaders. While they have not caught up to global rivals in terms of the most advanced chips, some companies have achieved success in less sophisticated areas, such as memory chips and larger logic chips used in more affordable smartphones and automobiles. However, in October, the Biden administration introduced a significant set of policies targeting China’s most successful semiconductor companies. These actions, coupled with substantial subsidies for chip production in the United States, have been viewed unfavorably by Chinese policymakers, according to Paul Triolo, senior vice president for China at Albright Stonebridge Group, a strategy advisement firm. “Chinese officials have been complaining about U.S. actions for months,” he said. “Beijing perceives these moves as primarily politically motivated and is now willing to respond in kind.” 🔄🇺🇸🛠️🔥
In certain respects, China is better equipped to engage in this exchange. Its authoritarian system allows for swift action and ensures that few domestic companies would defy government policy. In the United States, political debates and legal challenges can dilute the effectiveness of government efforts. Major American corporations, for example, have found legal workarounds to circumvent Washington’s attempts to restrict component sales to companies like Huawei. Some multinational companies have successfully lobbied for licenses that permit them to continue selling to blacklisted entities. 🇺🇸🤝🛠️🔓
By specifically targeting Micron, China is striking at one of the few sectors, namely memory chips, in which it has a foothold in competition with the United States. While it makes strategic sense to protect such achievements by excluding American competitors, China remains heavily reliant on the United States for advanced chips, as pointed out by Teng Tai, an economist and director of the Wanbo New Economic Research Institute in Beijing. He wrote on Weibo, a Chinese social media platform, “The ultimate goal of retaliating against Micron is to urge certain American companies to exercise restraint, thereby promoting further technology and trade cooperation and avoiding an isolated and self-reliant approach.” 🔄🛠️🇨🇳🌐
Sunday’s action against Micron also raises questions about how South Korea, a U.S. ally, will respond. South Korean companies, particularly Samsung and SK Hynix, stand to benefit the most from the Micron ban. These companies could potentially capture Micron’s customers, considering that Micron reported $3.3 billion in sales in China in 2022. Mr. Xiang, the Chinese government adviser, questions why South Korea should blindly follow the United States and harm its own interests, stating, “I don’t believe South Korea has an obligation to do so.” 🇰🇷🤝🛠️💼
The ongoing clash between China and the United States in the tech industry will have lasting effects on both countries and the global market. As this battle continues, the world is closely watching to see who will emerge victorious. One thing is certain: the competition is heating up, and there is no sign of it cooling down anytime soon. 🌐🔥🔥
