Recent attempts by the US to impede China’s chip manufacturing industry are seen as a short-term solution with uncertain long-term benefits, as per analysts and China technology experts. The outcome of these efforts will significantly impact the semiconductor industry in the future.
According to a report by Reuters, US export policy chief Alan Estevez is currently engaged in diplomatic talks to extend a 2023 agreement with Japan and the Netherlands to prevent China from acquiring chipmaking equipment that could enhance its military capabilities.
Despite the ongoing negotiations, experts remain doubtful about the effectiveness of these measures in the long run. However, any delay in China’s chip manufacturing progress could provide temporary relief to US companies.
The negotiations are complex, requiring US officials to persuade key stakeholders to halt the sale of chip manufacturing equipment to China, despite the potential revenue loss.
One crucial aspect of this issue is lithography systems, with Japan excelling in materials and components, while the Netherlands specializes in the machines used for etching semiconductor designs on silicon wafers. Mario Morales, IDC’s group VP for semiconductor coverage, emphasized the importance of lithography in advancing silicon technology, noting China’s investments in this area.
Given the significant financial interests involved, Morales believes that the US diplomatic efforts are unlikely to succeed.
2024-07-02 21:15:03
Source from www.computerworld.com