Navigating the Ever-Changing US-China Chip War: Insights and Stock Picks
U.S. Commerce Secretary Gina Raimondo stated that more controls on tech exports to China will be implemented as necessary, despite concerns from businesses. Raimondo emphasized the need for constant adaptation to changing technology and China's evolving landscape. The U.S. Department of Commerce previously announced export controls on advanced computing semiconductors to prevent them from falling into the wrong hands. Raimondo also mentioned the establishment of a continuous dialogue between business and government engineers to restrict China's access to certain technologies. Nvidia, a major chipmaker, has been affected by these controls and has delayed the launch of an AI chip designed for China. Raimondo is considering extending controls to sophisticated AI, biotechnology, and quantum computing. The goal is to slow down China's technological development while maintaining a competitive edge.