The concerns surrounding China’s technological advancements are not new, with Huawei Technologies Co. releasing a 5G phone powered by an advanced 7-nanometer chip developed by Semiconductor Manufacturing International Corp. (SMIC).
The debate in Washington centers around the effectiveness of U.S. attempts to curtail China’s technological growth. However, Under Secretary of Commerce for Industry and Security, Alan Estevez, remains optimistic about the export controls’ impact on China’s semiconductor production capabilities. He noted that these controls also relate to components of chipmaking equipment, and their breakdown will hinder China’s progress in developing its semiconductor industry.
The United States, in collaboration with Japan and the Netherlands, has been working on limiting China’s access to advanced chipmaking equipment. These measures include restrictions on Beijing’s attempts to secure spare parts for their existing machines, with ASML Holding NV, a leading provider of advanced chip-making gear, significantly reducing shipments and support to China by 2024.
