New economic restrictions have been solidifying and adding further tension among the United States and China, with the former choosing a much more aggressive and competitive tone in comparison to previous years.
America has issued that companies are required to seek government-approval before handing US cloud-based service providers to Chinese companies. In response, China planned to restrict metals like gallium to prevent the former from having a stable supply used in semiconductor chips.
International Affairs Professor Robert Sutter mentions the large influence it has on major corporations. Meanwhile, Robert Lightzier says that the trade needs to be rebalanced as this battle is critical for the US military and warfare development.
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Fueling The Fire With Tension
Lightzier adds that China will start exporting more than importing, and further restrict the US from receiving supplies critical for the country. He hopes the country will start restricting cloud computing services to Chinese companies – as the current issue heavily favors the latter.
Many shared that America should focus on the tech competition between China to ensure a stable supply of materials to secure further development of chips and artificial intelligence. They clearly want the country to outrank the Asian country.
Amidst this tough competition, Treasury Secretary Janet Yellen visited China to maintain a healthy economic competition and relationship with them. Though, she felt troubled with their comments in regards to US-based companies.
Coincidentally, China announced their plan to restrict exporting rare metals and materials to the US during the visit. Director of Research in Foreign Policy, Michael O’Hanlon, commented that it’s a sign left by the country to start pushing back against the US rather than doing nothing.
This situation continues to escalate further as both sides try to push back against each other to fiercely compete for number one – and it seems unlikely that it will end soon.
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Source: Washington Examiner
