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China to beat back US’ tech ‘hegemony’


A girl listens to a debate at Huawei Cyber Safety Transparency Middle in Brussels, Belgium, on Jan. 30, 2020.(Xinhua/Zhang Cheng)

China on Thursday issued a blatant warning in opposition to what it calls “US know-how hegemony,” signaling that it will counter Washington’s efforts to crack down on Chinese language tech companies, as some US officers are reportedly mulling new restrictions on high-tech exports to China in an escalating battle for dominance within the realm of know-how.

The renewed rigidity within the know-how sector provides recent fireplace to widening clashes between the world’s two greatest economies over a variety of areas in wake of the coronavirus pandemic, which has emboldened some anti-China and anti-globalization forces within the US of their sick makes an attempt to decouple from China, Chinese language analysts mentioned on Thursday.

Nonetheless, these forces might need picked the mistaken method, as China will strike again and will hit the US know-how sector ten instances more durable than what the US might damage China, given its rising technological capabilities and big market, the analysts famous, including that whereas the tensions will possible persist and trigger short-term disruptions, they will not be the general pattern of world technological collaboration.

China strikes again

COPYRIGHT_BP: Published on https://bingepost.com/china-to-beat-back-us-tech-hegemony/83740/ by Cecilia Jones on 2020-04-03T00:51:39.000Z

Commenting on Washington’s latest transfer in opposition to Chinese language telecom agency Huawei on Thursday, Hua Chunying, a spokesperson for the Chinese language Overseas Ministry, mentioned that China would retaliate if the US follows by way of. “For this kind of US know-how hegemony, the Chinese language authorities will certainly not sit idly by,” Hua instructed a routine press briefing.

The US was getting ready for additional measures in opposition to Huawei, aiming to dam gross sales of chips to the corporate by Taiwan Semiconductor Manufacturing Co, a serious provider for Huawei, in accordance with media studies earlier this week. The transfer, if adopted by way of, might trigger severe disruptions to Huawei’s operations, however the transfer is not life-threatening as different suppliers stay, analysts mentioned.

Hua’s feedback additionally got here as some US officers are escalating the tech conflict with China. Some senior US officers have been mulling new hurdles for stopping US corporations from promoting sure high-tech merchandise to Chinese language corporations that could possibly be diverted for navy use, together with semiconductors, citing China’s military-civilian integration growth plan, Reuters reported on Thursday. Hua pushed again on the claims, declaring that many massive US corporations are additionally the results of military-civilian integration drive.

“This can be a determined transfer from the US after its multi-year marketing campaign in opposition to Huawei failed. It doesn’t make any sense as a result of it will damage US corporations simply as a lot because it hurts Chinese language corporations, if no more. However then once more, the US has misplaced sensibility on a whole lot of issues,” Xiang Ligang, a veteran telecom trade analyst in Beijing, instructed the International Instances on Thursday.

Whereas Chinese language officers didn’t specify potential countermeasures in opposition to the US, analysts mentioned there are loads choices in China’s toolbox, much more than through the commerce conflict, primarily as a result of many US tech companies from aircraft producer Boeing to chipmaker Intel to smartphone producer Apple, are all uncovered to the Chinese language market. China accounts for over 22 % of Boeing’s industrial income, 28 % for Intel and about 15 % for Apple, media studies confirmed.

In whole, US tech corporations generate a complete of about $600 billion income from the Chinese language market annually, whereas Chinese language corporations solely get lower than one-tenth of that from the US, in accordance with Fang Xingdong, founding father of Beijing-based know-how assume tank ChinaLabs.

“If US politicians are actually imbecilic and struggle a tech conflict, it is going to be a easy and straightforward factor for China to retaliate. China and the US would possibly each have benefits in a commerce conflict, however in know-how, China’s energy could possibly be a couple of instances extra highly effective than that of the US,” Fang instructed the International Instances on Thursday.

US high-tech corporations depend on China for gross sales income but in addition essential elements, Fang mentioned. “With out the help of China’s provide chain, manufacturing at a majority of US corporations will go into shock instantly,” he mentioned.

Some US companies have voiced considerations about how the brand new restrictions will impression their companies, in accordance with Reuters. US President Donald Trump has not signed on the plan but. Trump in February blocked an earlier try by some officers in his administration to dam gross sales of US airplane engines to China.

The coronavirus outbreak has significantly affected the operation of Apple’s provide chain. Photograph: cnsphoto

Battle for dominance

Nonetheless, regardless of the plain flaws in what Chinese language analysts name “self-destructive” plans, some anti-China officers inside the US authorities, who’ve been relentlessly pushing for a China-US decoupling, are emboldened by provide chain issues highlighted by the pandemic, analysts famous.

The seemingly determined measures from Washington additionally highlighted a deepening urgency and uneasiness amongst some US officers that they’re already falling behind China in responding to the pandemic – an occasion that would reshape the world order for years to return – and they’re preventing to order that pattern by staying in the important thing battle over revolutionary applied sciences in areas corresponding to web, telecom, AI, and biotech, the analysts added.

Nonetheless, in scrambling to include China from rising in these areas after the pandemic, these US officers are literally serving to China fairly than saving themselves, Shen Yi, an affiliate professor of worldwide politics at Fudan College in Shanghai.

“[Cracking down on Chinese tech companies] is most foolish commercially, it additionally matches completely into the political setting of the US, the place attacking China is politically appropriate,” Shen instructed the International Instances on Thursday. “Put it bluntly, to only present political correctness, US officers are abandoning the muse for its technological dominance and mainly handing it to China.”

For China, whereas the measures “would possibly trigger some hassle for some Chinese language corporations, however in the long term, it solely boosts China’s core competiveness,” Shen mentioned.

China is already among the many world’s leaders in a variety of areas, together with 5G, synthetic intelligence (AI), large knowledge and others and is continuous to spend money on these areas. Even because it copes with the epidemic, China has stepped up spending in these areas, or what Chinese language officers name “new infrastructure” initiatives, with a complete of 40 trillion yuan investments already introduced, in accordance with some estimates.

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About The Authors

Cecilia Jones

Cecilia Jones - Cecilia Jones loves to write about movies, music, and the most popular and exciting news.

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