The Chinese Foreign Ministry says the Joe Biden-backed legislation will ‘disrupt international trade and distort global semiconductor supply chains’.
American processor chip law ‘a threat to global trade’ says China
China has criticised a US law to encourage processor chip production in the United States and reduce reliance on Asian suppliers as a threat to trade and an attack on Chinese business.
The law signed this week by President Joe Biden promises $52 billion in grants and other aid to investors in US chip factories.
It responds in part to warnings that supplies might be disrupted if China attacks Taiwan, which produces up to 90 per cent of high-end chips. China’s ruling Communist Party claims the self-ruled island as part of its territory.
The measure will “disrupt international trade and distort global semiconductor supply chains”, said a Foreign Ministry spokesperson, Wang Wenbin. “China firmly opposes that.”