Thought Banana
The U.S. Does Not Share Its Chips
And it turns out, the U.S. isn’t much of a sharer of any of its high-tech gadgets, especially with you know who…
Yesterday, the beef between the United States and China only heated further. Per the WSJ, we found out on Tuesday that the Joey B administration is likely moving forward with plans to revoke export licenses allowing U.S. companies to sell things like chips to Chinese telecom giant Huawei.
Citing national security reasons, Biden and his homies are allegedly “reviewing” plans to further the division of economic ties between the U.S. and China by hitting them right where it hurts: in the tech sector.
Donnie T, during his administration, imposed restrictions on U.S. companies working with Huawei and basically ensured that products from the Chinese firm were nowhere to be found from sea to shining sea.
Now, Donnie T’s arch-rival Joey B appears to be continuing this legislative trend. The White House announced that it intends to not only maintain the existing rules around commerce with Huawei but signaled plans to fully revoke the ability of U.S. companies to sell just about anything to the firm.
Specifically, Joey B wants to make it illegal to sell semiconductors (aka chips) as well as the equipment needed to manufacture such products to China’s top telecom name. As we said before, this idea was floated in the spirit of national security, but as usual, that’s a sword with some hella sharp double-edges.
First and foremost, obviously, restricting the ability of U.S. firms to sell China the tools it needs to surpass the country in technological prowess makes sense right off the bat. China will, of course, continue its extensive IP theft practices in some way that nobody on this side of the pacific has been able to solve yet, but ending the direct transfer is viewed as a method for the United States to re-secure the top spot in the global tech trade.
BUT, on the other hand, legislation like this is a sign of a rather worrisome trend. See, throughout history, the top extinguisher of warfare (besides familial relations from all those whack *ss European “rulers”) has been economic ties. Basically, countries that trade with each other don’t generally like to subsequently fire guns, or ICBMs, at each other.
So, all in all, this legislation certainly could solidify U.S. tech leadership (for now), but it also shows signs of a growing trend meant to sever technological and economic ties between the two nations. Not to be overly dramatic, but where we sit right now, this either secures the U.S. another 5-10 decades as the global tech leader, or this legislation just pushed us one step closer to World War III. Place your bets, apes.
The big question: Are the U.S. and China ever going to kiss and make up? Will the 2020s decade see a continual ramping of beef between the two “superpowers”? How will China’s own legislative bodies react/retaliate?
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