The Semiconductor Battleground
Semiconductors, the brains behind modern technology, lie at the heart of the tech war. Recognizing their vital role, the Trump administration implemented export controls on foreign chipmakers using American equipment. This move was designed to restrict China’s access to essential resources needed to develop its own high-end semiconductors. These actions were further bolstered in 2020 with the addition of China’s leading chipmaker, SMIC, to the Entity List, citing its ties to the Chinese Communist Party.
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.
