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U.S. Expands Export Restrictions on China

 


1. Overview
On December 10, 2024, the U.S. Department of Commerce announced expanded export restrictions targeting China.

  • This measure prohibits the export of high-bandwidth memory (HBM) and advanced semiconductor equipment from South Korea to China.
  • It is part of a broader strategy to curb China's technological and military advancements.

2. Key Details and Context

2-1. Restrictions on High-Bandwidth Memory (HBM)

  • South Korean HBM, crucial for supercomputers and AI servers, is now restricted.
  • The U.S. cites concerns over potential military applications in China.

2-2. Ban on Advanced Semiconductor Equipment

  • Equipment essential for semiconductor manufacturing is also banned.
  • This move aims to limit China's ability to produce cutting-edge semiconductors.

2-3. Continuation of Previous Sanctions

  • These restrictions build on measures introduced in October targeting China's semiconductor industry.
  • The U.S. is strengthening collaboration with allies to prevent technology transfers.

3. International Reactions

3-1. China’s Opposition

  • China condemned the measures as "economic hegemony" and hinted at filing a complaint with the WTO.

3-2. Responses from South Korea and Japan

  • Both countries are assessing the impact on their industries while maintaining cautious positions.
  • South Korean semiconductor firms are focusing on diversifying their markets.

3-3. Concerns in the Global Industry

  • The global IT sector fears further disruption in the tech supply chain.
  • There are also concerns that the semiconductor shortage could be prolonged.

4. Future Outlook and Challenges

4-1. Shifts in Global Supply Chains

  • Efforts to exclude China are accelerating the reorganization of supply chains.
  • Companies must navigate the growing tensions between the U.S. and China.

4-2. Need for Diplomatic Resolution

  • International cooperation is crucial to easing economic tensions.
  • Coordination among allies will be key to addressing the challenges ahead.

Conclusion
The expanded U.S. export restrictions on China are expected to have significant implications for the global tech industry and economy.
As the U.S.-China tech rivalry intensifies, the international community must carefully navigate these challenges.

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