CHINA - US Export Controls Help China

The tech company SiCarrier is hardly a household name. The government-backed Chinese firm makes things most people have probably never heard of, like epitaxy equipment and atomic layer deposition tools used in microchip fabrication.

But at a chip industry expo in the southern Chinese city of Shenzhen this fall, a crowd thronged its display booth, snapping pictures, doing livestreams and marveling at its wares.

“Their products are very good—they’re excellent,” said Zhang Hengming, who showed up at the SiCarrier booth waving the blue flag of an AI electronics alliance that he chairs. “We support made-in-China products so they can get stronger and reach the world.”

The U.S. has been using ever-tightening trade restrictions to limit the flow of high-end microchips to China, along with the gear to make them. The goal is to try to keep Beijing behind in artificial intelligence and to prevent China’s military from acquiring the best chips.

Zhang said that overall, the friction with the United States over technology is a good thing for China’s chip industry. “Chinese chips will be able to compete in the world. No problem,” he said.

In April, according to state media, Chinese leader Xi Jinping said China needs scientific breakthroughs if it is to gain superiority in AI, and he pledged significant policy support.

Jarod Wang, who works for a Shenzhen-based chip design firm, is optimistic about China’s ability to innovate its way forward alone because there are no major technical barriers when it comes to chipmaking. “It simply requires time and resources,” he said.

-www.npr.org, 19 December 2025

Commentary: When it comes to analyzing commerce in China, one learns that their ability to adjust quickly to be competitive on the world market speaks for itself. The statement, “friction with the United States over technology is a good thing for China’s chip industry,” is on target.

One must simply look at recent history. For example, when Japan exported cars to the US and Europe in 1957, they were a laughingstock. Today, everyone knows that the US has lost its position as the leading automobile manufacturer. Germany also is painfully aware that their much-hailed automobile industry is now in danger of losing its superior position to Japanese, and lately South Korean manufacturers.

When it comes to high-tech, such as microchip fabrication, the speed of technology multiplying itself is nothing short of mind-boggling. But in the end, this development will contribute toward establishing a truly global world, albeit temporary.