Opportune time for countermeasures

In light of recent developments, it is evident that China’s introduction of export control measures is a calculated response to the United States’ chip-related export restrictions and its suppression of China’s high-tech industry. This also relates to Dutch semiconductor equipment manufacturer ASML’s export curbs on semiconductor tools and Japan’s export control of 23 types of semiconductor manufacturing equipment. Coupled with growing investment of companies like TSMC and Samsung Electronics in the US, the suppression of China’s technological advancement in the high-tech sector has reached extreme levels. In this backdrop, it is appropriate for China to take countermeasures, and the timing seems opportune.

While China continues to strive for self-improvement in its semiconductor industry and enhance its manufacturing capabilities, it acknowledges the need for international collaboration, given its position in the global division of labor. There is no fault in pursuing such cooperation. However, the mistake lies in the abandonment of collaboration by Western countries under the guise of security concerns, which is essentially an attempt to suppress China as an emerging global competitor. China cannot passively accept this pressure without retaliating appropriately. A well-considered response would be favorable, and China should also keep its future options open.

China possesses rare resources and holds significant influence in global trade, enabling it to shape the dynamics of the global industrial chain. China’s strong position in various industries and its ability to influence trade patterns give it a valuable position of strength.

In conclusion, China’s implementation of export control measures should be viewed as a strategic response to external pressures. By considering the timing of key visits and leveraging its economic influence, China aims to safeguard its interests and establish a firm position in the face of suppression. While continuing its development in the semiconductor industry, China recognizes the importance of international collaboration and reserves the right to respond appropriately.

Jin Baisong, an economist with expertise in the rare earth industry