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Made in China 2025 

China's "Made in China 2025" plan placed significant emphasis on domestic chip production, aiming to achieve an ambitious goal of 80% self-sufficiency by 2030. 

However, these aspirations were challenged by US restrictions on crucial equipment, particularly extreme ultraviolet (EUV) lithography machines – the crown jewel of chipmaking technology. These machines are solely manufactured by the Netherlands-based ASML, which is currently barred from exporting them to China.

This leaves Chinese manufacturers relying on older deep ultraviolet (DUV) machines. While still capable of producing advanced chips, they are not on par with their EUV counterparts. 

Despite these limitations, China has showcased progress with SMIC releasing a 7-nanometer chip in 2023, and Huawei reportedly developing a groundbreaking 3-nanometer chip. If successful, this would put them at the forefront of chip technology.

The US Advantage

While the US has ceded ground to industry leaders like Taiwan and South Korea in terms of chip production, it retains its crown as the global leader in chip design and innovation. 

American chipmakers, unlike their Chinese counterparts, have unrestricted access to cutting-edge lithography equipment. Industry giants like Intel are reportedly on track to launch a revolutionary 1-nanometer chip as early as 2027.

However, China's recent $47.5 billion injection into its semiconductor industry highlights its unwavering commitment to self-sufficiency. Some experts even suggest that US actions are inadvertently pushing China towards accelerated innovation and domestic chip production. China also holds a dominant position in critical mineral resources, which are essential for chip production.

It was during the Trump administration that the battle with China for tech supremacy took off.

Electric Vehicle Race: China Takes the Lead

A decade ago, the US dominated the electric vehicle (EV) landscape. Tesla, the American pioneer of highway-capable EVs, enjoyed a significant market share advantage over Chinese competitors.

Today, the narrative has shifted dramatically. The US now plays catch-up, capturing a mere 10% of global EV sales in 2023.

China's dominance in the EV market can be attributed to several factors. The Chinese government's early and significant investment in EV research and development laid the groundwork for future success. Generous subsidies for both manufacturers and consumers, coupled with the availability of low-cost raw materials like steel, made Chinese EVs highly affordable. This strategy has fueled a surge in exports, with sales reaching a staggering $34.1 billion in 2023.