Following US efforts to curb Chinese influence and restrict access to advanced technology, China, led by Xi Jinping, has retaliated by banning the use of American-designed chipsets in its government systems, targeting major players like AMD and Intel.
This move comes in response to successive US administrations, including those of Donald Trump and Joseph Biden, which have sought to limit China’s technological progress and curb its growing influence. Measures have included blocking access to advanced technology, constraining advancements in AI, and putting the status of apps like TikTok in question.
China intends to phase out the use of American chips and critical components entirely from its governmental systems, including software developed by companies like Microsoft. This directive also extends to targeting systems like Windows OS.
The US and European nations have previously raised concerns about the integrity of Chinese firms, particularly Huawei, a major player in mobile manufacturing and telecommunications infrastructure. This has led to political tensions and commercial conflicts between 2019 and 2022, according to Free Press Journal.
In the ongoing TikTok-ByteDance saga, the US House of Representatives, led by Republicans, passed legislation requiring ByteDance to divest from TikTok or face a potential ban in the US. China has criticized this decision, though it awaits approval from the US Senate.
With the possibility of a second Trump presidency, the trajectory of this emerging “Tech-Cold War” remains uncertain, with implications for the world’s two largest economies and beyond.
(Finance World and The Free Press Journal have published the article under a mutual content partnership arrangement.)
