China Tells Stakeholders To Uphold Open Semiconductor System as US Tries To Strangle Supply Chains
(Photo : JOEL SAGET/AFP via Getty Images)


China says an open semiconductor system will be better, but the Biden administration wants to hobble Beijing any which way, even strangle supply chains that are crucial for everyone. Many firms are starting to chaff at the one-side hegemony of the US.

China, in an emerging tech war with Washington, said an open semiconductor system is needed, or the world chip market will be affected. Attempts by the Biden administration to strangle supply chains are yet another of the US's ideas aimed solely at slowing their slide against Beijing.

China Opposes US Move To Stop Open Semiconductor System

An "open" and "inclusive" market system was encouraged at a symposium on China's state-backed semiconductor industry last Thursday.

Chip firms worldwide are now under pressure to endorse the United States in its attempt to cut China off from the world's supply chains, reported SCMP.

During the Global Conference on Integrated Circuits, sponsored by the Ministry of Industry and Information Technology as well as the Anhui Provincial Government, representatives of the so-called Hefei Initiative, noted China Daily.

It urged all chip market players to push for free trade and investment and implement all the appropriate capabilities, investment, expertise, and intellectual property protection measures in such a "better working" ecosystem.

The China Semiconductor Industry Association favors the effort as other proponents also include the Hefei government of the province of Anhui; Changxin Memory Technologies, a substantial producer of Chinese memory chips; the Chinese Academy of Engineering; and Siemens EDA, a well-known maker of chip design software.

The initiative's organizer released a statement announcing that the worldwide integrated circuit sector has started a significant modification period. Keeping an open semiconductor system is in the best interest of everyone.

China is keen on reserving and guaranteeing the security and stability of the distribution chain, and the industry chain will become a significant problem.

Read Also: Mark Zuckerberg Net Worth 2022: How Did Facebook Founder Lose $30 Billion in 1 Day?

The campaign, which holds no tangible implementation strategy, emerges as the US tightens its export control system through early October. Trying to restrict Beijing's access to sophisticated chip techniques and equipment.

The US Commerce Department's Bureau of Industry and Security increased the scope of its high-tech export controls to include chip makers on the mainland. It included prohibitions for DRAM chips that use the 18-nanometer half-pitch node or tinier and for NAND flash memory chips with 128 layers or more.

US Attempts To Hamper Chinese Chip Firms 

Reports show that American suppliers have refused to supply Changxing due to Washington's most notable regulatory standards. Changxin, including another top Chinese memory chip maker, Yangtze Memory Technologies Co., is now a focus of the new US export restrictions.

Last August, the White House began the Chips and Science Act to increase US manufacture of integrated circuits as China is outdoing America, citing CNN.

Based on the attempts by Beijing and the semiconductor sector to keep pushing desperately to stabilize the critical global chip supply.

Joe Biden is placing trade curbs that will cause an excess in chip manufacturing; the current US administration is willing to risk the macroeconomy.

One of the goals of the three-day conference held in Hefei is to poll everyone from industry executives to government chiefs to find ways to curb reckless US moves.

China prefers an open semiconductor system to benefit all parties, not the White House's selfish attempts to strangle supply chains to stop China.

Related Article: US Ban on Chip Export Against China Risks Stagnation of Crucial Semi-Conductor Development to Global Growth