Follow Gizchina, the US administration under former President Donald Trump was furious when US companies were won by Chinese companies in the 5G race despite the country’s many restrictions due to the embargo issued by Trump. .
However, experts say that in order to achieve this victory, China had to spend huge sums of money in exchange for technological development. Currently, the country with a billion population continues to pour capital into domestic technology companies. Gizchina That is one of the reasons that the US accuses many Chinese technology firms of associating with the military of this country. Realizing the threat, chip companies in particular and U.S. tech companies in general, warns that if the Joe Biden administration doesn’t rush to invest heavily in manufacturing and research, the US will soon lose. dominant position in technology.
On February 11, the Semiconductor Industry Association (SIA) with members including many major chip companies such as AMD, IBM, IBM, Intel, Nvidia … proposed an initiative in a letter to Mr. Biden. Specifically, they want the US government to provide a grant in the form of subsidies or tax credits to encourage companies to manufacture semiconductors as well as promote semiconductor research in the upcoming stimulus. Accordingly, if it receives the investment, the agency declares that it will “Create a lot of values to contribute to boost US economic growth, create jobs and upgrade infrastructure”.
SIA management believes that it is government subsidies and incentives that are important for companies in many other countries, and their global competitors, to achieve great results. and leading in the race to develop the next generation of mobile networks. Not only that, SIA said that US companies are losing ground in many other areas such as artificial intelligence, quantum computing … The representative of this organization emphasized: “America’s technological dominance and leadership is at stake”.
In addition, recently, the International Semiconductor Industry Association (SEMI) asked the US Department of Commerce (DoC) to review sanctions and export restrictions imposed by Washington on China’s supply chain. National. According to SEMI, the US government has enacted these policies despite opposition from public opinion. Not only SEMI, the SIA agency agreed, and they declared that it was the US sanctions that would slow the long-term growth of American companies globally.
In addition, SEMI CEO Ajit Manocha wished the US Commerce Department would amend the rules preventing Huawei from buying US chip technology as they lead to “pre-supply of some US semiconductors. for Huawei to be won by another country. Manocha also urged the agency to quickly resolve a series of permits to supply Huawei components. He said the US Department of Commerce’s action as an informal license denial and is making companies afraid to cooperate with the US.
And yet, CEO SEMI expects that the US administration under Joe Biden will have multilateral trade policies to ensure a “level playing field”. Manocha has criticized the former Trump administration’s unilateral rules that have caused many shortcomings, unnecessary damage to the US semiconductor industry and left US exporters vulnerable to retaliation. Finally, Ajit Manocha stated that if there is no change in the future, these restrictions could reduce the budget and force US companies to move production and research activities abroad, from there. “constraining American innovation”.