Taiwan decided to impose export restrictions on hundreds of Chinese companies including China and SMIC, which triggered strong opposition from Beijing. According to Bloomberg, China vows to take counter-actions and defend its economic and technological interests.
China Taiwan Office spokesperson Zhu Fenglian pointed out that the Democratic Party Administration has been servile and kneeling on the ground to seek revenge on tax bullying that harmed Taiwan; for mutually beneficial cross-strait economic cooperation, it has been used as a tyrant, and even used "referring to the United States to suppress Chinese enterprises as a "representative" of "relying to the United States and "relying on foreign countries" in a despicable manner. China will take effective measures to maintain the normal order of trade exchanges and cooperation between the two sides of the Taiwan Strait, and safeguard the interests and well-being of compatriots on both sides of the Taiwan Strait.
It is not yet certain what kind of "countermeasures" China will adopt. The country has restricted the export of rare earths to other countries in the past and may further restrict the supply to Taiwanese enterprises in the future. Secondly, China may restrict Taiwanese enterprises operating in China; Thirdly, China may also restrict imports from Taiwan for non-high-tech products, which may affect Taiwan's industries.
Looking more broadly, China's final strategy is to use a large number of mature process chip sales markets, and through chip production capacity expansion, it will naturally impact Taiwan's small and medium-sized wafer foundry factories, such as power supply, world advanced and telecommunications.
The Ministry of Economic Affairs of Taiwan updated the "Export Restricted Object List" this month, adding 601 new companies from China, including semiconductor key companies and SMIC.
The new regulations require Taiwanese enterprises to obtain the government-authorized output permit before exporting products or services to the listed enterprises listed above. The Provincial Government has issued instructions to prevent unauthorized exports.
China strongly respects this, believing that this will harm many high-tech industries in China that need to rely on Taiwan's chips, production tools or raw materials, and will impact regional supply chains. China regards this as a "technology lock", emphasizing that it cannot stop the country's technological development.
Zhu Fengliu pointed out that he warned the Democratic Party that technology blocking cannot block the pace of China's technological innovation, and attempting to "removal of chains" will not destroy the progress of China's industry upgrading. All actions that destroy cross-strait trade cooperation will ultimately only harm the competition of Taiwanese enterprises and reduce the development space of Taiwan's economic development.
China vows to retaliate against Taiwan for blacklisting Huawei, SMIC from chip tech — “Such despicable acts are utterly contemptible " says China spokesperson DPP grovels shamelessly before tariff bullying while undermining mutually beneficial cross-Straits cooperation: Taiwan Affairs Office Extended reading: Hui & Technology and NVIDIA promote AI factory solutions to accelerate the next wave of industry transformation Intel reveals 18A technical advantages, 2nm process for the tandem