Now it’s official: our own semiconductor industry is in a “death spiral“ after Chinese export bans
Analyses by the New York Fed and the Center for Strategic and International Studies confirm that US semiconductor companies are losing tens of billions of dollars per year in sales. In an 18-month period immediately following strict sanctions against US chip exports to China, US companies lost an average of $770 million in market capitalization, with $130 billion in lost market cap industry wide.
In company-specific examples, Micron has lost half of its revenues as a result of China export restrictions. In 2024 alone, Qualcomm will forego $10 billion in lost sales of 7-nanometer chips which are now manufactured by SMIC, a Chinese semiconductor firm.
The United States now faces strong challenges from companies in allied countries, who are resisting calls to further decouple from China’s semiconductor market, the world’s largest.
Resources and links:
Federal Reserve Bank of New York, Geopolitical Risk and Decoupling: Evidence from U.S. Export Controls
Collateral Damage: The Domestic Impact of U.S. Semiconductor Export Controls
Commerce Department Implements New Export Controls on Advanced Computing and Semiconductor Manufacturing Items to the People’s Republic of China (PRC)
The Anatomy of Export Controls
Reuters, China sets up third fund with $47.5 bln to boost semiconductor sector
Former ASML CEO says US-China trade war is on “basis of ideology”
US calls for Netherlands, Germany, South Korea, Japan to tighten chip curbs on China, drawing resistance from allies
Bloomberg, US Seeks Allies’ Help in Curbing China’s AI Chip Progress
Closing scene, Xinjiang Province
1 view
25
6
4 days ago 00:04:14 1
Paramore: Decode [OFFICIAL VIDEO]
5 days ago 00:03:07 1
Two Faced (Official Music Video) - Linkin Park
1 week ago 00:01:17 1
Pathfinder: Wrath of the Righteous - Official Game of the Year Edition Trailer
2 weeks ago 00:01:06 1
Warhammer: Vermintide 2 - Versus PvP Mode | Release Trailer
2 weeks ago 00:26:03 1
Why I Voted For Donald Trump
2 weeks ago 00:04:14 1
The Hunter - Bloodborne (4K UHD 2024)
2 weeks ago 00:00:00 1
The Bloody Beetroots - This is Blood feat. N8NOFACE & Teddy Killerz (Official Music Video)
2 weeks ago 00:03:50 1
Vana - BEG! (Official Music Video)
2 weeks ago 00:03:28 1
Nemo - The Code (LIVE) | Switzerland🇨🇭| Grand Final | Eurovision 2024
2 weeks ago 00:03:39 1
Slipknot - Left Behind [OFFICIAL VIDEO] [HD]
2 weeks ago 00:03:57 1
Don Toliver - BROTHER STONE (FEAT. KODAK BLACK) [Official Music Video]