China looks nervous and is starting to get annoyed, even a little too much. Patience is running out for the country of the silk road and as such, it is raising the tone with all the blockades it is suffering. The last thing we know about this whole issue of chips and semiconductors in general is that at the G7 summit that took place just last week the spirits were very tense, with China asking certain countries for explanations. what do you ask China exactly? Well, he wants that Japan lift all restrictions ASAP.
On Friday night, USAtime, within the framework of the Asia-Pacific Economic Cooperation conference, also known as APEC, which was held in Detroit, had a dialectical confrontation and in the distance between both countries. The statements collected were the work of China’s Commerce Minister, Wang Wentao, who have not liked anything in Japan.
China raises tone with Japan, calls its restrictions in derogatory ways
Well yes, China’s patience is running out and to realize where the situation is we have to collect the statements offered in APEC by Wang:
We urge Japan to suspend semiconductor export controls, as they are irregular and seriously violate international economic and trade rules.
The statement was made official yesterday morning from China itself after Wang informed his government, so they are official statements from the country. The problem is that Japan did not point fingers when it declared that it was changing its export controls to contribute to international peace and stability.
We talked about it in a specific article, where we already speculated on the double meaning of those words, how the statements of the Chinese Minister have ended up being seen. What will happen now?
First the lime, then the sand
The statement started very strong as we have seen, but after that, Wang wanted to tone down the threat, stating that China “is willing to work with Japan to promote practical cooperation in key economic and trade areas.”
China fears losing Japan even more and finding itself in a complete blockade. Xi Jinping knows that Raimondo met with Nishimura to continue developing the cooperation agreement for advanced technologies, among which are areas such as quantum computing or the fashionable Artificial Intelligence.
In addition, the US blockade can bear it, and proof of this is that it has completely expelled Micron, but not having Japan as an economic ally… It is a blow that cannot be allowed, because they do not have the teams and are in full expansion to alleviate the deficit caused by the US blockade.
South Korea wants to distance itself from the controversy and confrontation
We have been warning him since this weekend, where South Korea did not want to get into trouble and was going to let its companies compete. This means that Samsung and SK Hynix have government backing to expand in China if they want to and see a market, taking advantage of Micron’s huge gap.
But now the dialectic is changing. The South Korean government commented yesterday afternoon that “It will not encourage memory vendors to gain market share in China amid the Micron ban.”
It sounds like a forced reverse without a doubt. Or an excuse, if you want to think really badly. Perhaps Biden has picked up the phone?