China Launches Investigations into U.S. Semiconductor Exports Ahead of Madrid Trade Talks
China has initiated two investigations targeting the U.S. semiconductor sector in response to recent export restrictions, as high-level trade negotiations in Madrid loom, reports 24brussels.
The Ministry of Commerce disclosed an anti-dumping investigation into certain analog integrated circuits (ICs) imported from the U.S., specifically examining commodity interface IC chips and gate driver IC chips, commonly produced by companies such as Texas Instruments and ON Semiconductor. Simultaneously, the ministry has launched an anti-discrimination investigation concerning U.S. measures affecting China’s domestic chip industry.
A ministry spokesperson criticized U.S. export restrictions and tariffs as attempts to “contain and suppress China’s development of high-tech industries,” particularly advanced semiconductors and artificial intelligence technologies. These latest actions come on the heels of the U.S. adding 23 Chinese companies to an “entity list” for allegedly undermining U.S. national security and foreign policy, which includes firms accused of acquiring chipmaking equipment for China’s SMIC.
U.S. Treasury Secretary Scott Bessent is slated to meet Chinese Vice Premier He Lifeng in Madrid from Sunday to Wednesday. These discussions aim to reduce trade tensions and postpone the application of higher tariffs, continuing negotiations that began with meetings in Geneva in May, London in June, and Stockholm in July.
Reflecting on the Stockholm discussions, Bessent termed them “very fulsome,” emphasizing the importance of “de-risking with certain strategic industries,” including rare earths, semiconductors, and medicines. He underscored the need for balance within the bilateral relationship.
Both the Trump and Biden administrations have enforced restrictions on China’s access to advanced semiconductors, implementing curbs on the sale of chipmaking equipment. While Washington presents these measures as national security safeguards, Beijing views them as part of a broader U.S. strategy to hinder China’s technological progress.
As tensions escalate, the global implications for technology and supply chains remain significant, underscoring the complexities of international trade in a rapidly evolving geopolitical landscape.
Source: AP
