The final rule of the United States on chips in China, the high walls of the small courtyard and the

Mondo Technology Updated on 2024-01-30

On October 17, 2021, the United States released its attack on ChinaChipsThe final rule of the restrictions, which has sparked widespread attention and interpretation. However, this final version of the rules seems to feel a little inexplicable, and it is a relaxation of the rules on ChinaChipsAre the restrictions still tighter?From the rules, we may be able to see some of the strategic orientation of the United States. This article will delve into the back of this rule and understand the so-called "small courtyard and high wall" strategy of the United States, as well as the rightChinese chipsThe impact of the industry.

America's Relations with ChinaChipsIn the final rule of limitations, you can see the obvious strategy of "small courtyards and high walls". To put it simply, this is to narrow the scope of the restriction to the high-tech field, but to strengthen the restriction within the field. United States**Strict protection measures have been set up in restricted areas, leaving no longer any opportunities for the outside world to exploit loopholes. However, in areas where the embargo has been broken or where the United States considers the embargo of little value, restrictions have been lifted entirely. This strategy is actually putChipsIndustry withHuaweiand other companies to strike a blow at the entire industry, thus forcing China to work hard in the low-end areas outside the small courtyard. In fact, the U.S. strategy of "small courtyards and high walls" is not limited toChipsIn terms of restrictions, embargoes and restrictions in other areas are also involved.

The U.S. released this time on ChinaChipsLimiting the final rule is a big surprise. This rule does not only limit ChinaChipsExport, give backChinese chipsThe industry has been hit in all directions.

From the rules, we can see that the United States' strategy of "small courtyards and high walls" is very obvious. They will be against ChinaChipsThe scope of the restriction is limited to the high-tech field, but the restriction is strengthened in this field. This means,United States**Strict and thorough protection measures have been set up in the restricted areas to plug all loopholes. They no longer give the outside world any chance to exploit loopholes, to letChinese chipsEnterprises feel like a desperate situation like a trapped beast. However, in areas where the embargo has been broken or where the United States has deemed it of little value, restrictions have been lifted entirely. This strategy is actually putting the whole thingChipsIndustry withHuaweiand other companies to crack down on the entire industry, forcing China to struggle in the low-end field outside the small courtyard.

Therefore, some people say that this "small courtyard and high wall" strategy of the United States is mainly aimed at AIChipswithData CentersChips, but accidentally injuredNVIDIA RTX4090, which is a high-end gaming graphics card with a lot of computing power. However, the reality is that they are really targeting areas with high computing power, regardless of theseChipsWhether it's for gaming or something else.

In addition, the United States also put advancedChipsThe scope of export licenses has been expanded to more than 40 countries to prevent advanced AIChipsDetours from other countries into China. At the same time, they also banned domestic productionLithography machineThe import will be directly from ChinaChipsManufacturing capacity has been hit to a complete standstill. Not only that, but the United States has also raised it against 21 countriesChipsLicensing quotas for manufacturing equipment, and expanding the list of devices prohibited from entering these countries, with the aim of restricting Chinese manufacturing below 14 nanometersChipscapacity. The impact of this measure is very wide-ranging, and 31 related companies have been included in the export control list, and it can be said that China's semiconductor industry has sufferedHuaweiSame treatment. Therefore, this "small courtyard and high wall" strategy accurately locks in AIChipsData CentersChipsand below 14 nanometersChipsThese three aspects have had a huge impact on the entire industry.

For this timeChipsLimiting the final rule, there are differing opinions on whether it has been relaxed or strengthened. In fact, there are some relaxation measures in this rule, but at the same time, there are also restrictions in some aspects. The rules are mentioned in the game consoles andSmartphonesand other consumer goodsChipswill not be subject to export controls, but ifChipsThe performance is so strong that companies need to report to the U.S. Department of Commerce. This provision actually indicates that this partChipsIt can be easily dumped into other countries, thus breaking the previous restrictions. However, this does not mean that the United States is against ChinaChipsTightening of restrictions. On the contrary, it can be understood that the United States is playing against the highTechnologyIn addition to the total blockade of the industry, a more covert means have been chosen to strike at China.

In essence, there are indeed some relaxation measures in the rules, but at the same time, some restrictions have been tightened. The rules clearly state that the game console andSmartphonesand other consumer goodsChipswill not be subject to export controls. This provision undoubtedly givesChinese chipsCompanies have a little respite, and they can shift their production focus to these consumer goods areas. However, this does not mean that the United States is against ChinaChipsThe tightening of restrictions, on the contrary, shows more that the United States is doing more with ChinaChipsA kind of strategy adjustment in terms of restrictions.

ForChipsWe need to look at the relaxation and strengthening of restrictions from two aspects. From the point of view of relaxation, the regulations clarify the field of consumer goodsChipsUnrestricted, that means:Chinese chipsBusinesses can continue to produce and sell these products. This is for youChinese chipsThe industry is undoubtedly good news because of the consumer goods sectorChipsThe demand is huge, which can provide more development opportunities for enterprises. In addition, the regulations also specify if:ChipsThe performance is high enough to be reported to the U.S. Department of Commerce, which can be understood as the U.S. for some high-performanceChipsIt is not completely restrictive, but requires stricter supervision and reporting. This relaxed attitude can be seen as the United States towards ChinaChipsA compromise of restrictions, or to show a relaxed posture at home and abroad.

However, from the point of view of strengthening, the regulations are for the high-techChipsThe restrictions are stricter. For example, the restriction on the speed of communication is removed and the focus is on computing performance, which will stop someChipsSales in the Chinese market. In addition, new additions have been added to the level of "performance density" that exceeds a certain levelChipsrestrictions, which block the possibility of some attempts to circumvent them. And forLithography machineetcChipsRestrictions on manufacturing equipment have been tightened to prevent China from manufacturing below 14 nanometersChipscapacity. These tightened restrictions mean that the United States is more protective of high-end technology and is reluctant to allow China to make breakthroughs in these areas.

So, forChipsThe easing and tightening of restrictions can be understood in this way: the United States has relaxed its restrictions on China in certain areas of consumer goodsChipsbut the restrictions in the high-tech field are even stricter. This two-sided strategy may be intended to show some flexibility and compromise on the surface, but still reinforce the pair in substanceChinese chipsRestrictions of the industry. In this way, the United States not only restrictedChinese chipsThe development of enterprises in high-tech fields has also forced them to turn to the field of low-end consumer goods, thus controlling the direction and speed of development in the entire industry.

This time to ChinaChipsRestriction of the final rule pairChinese chipsThe industry is undoubtedly a huge challenge. First of all, the scope of the restriction is clearer for high-tech fieldsChipsR&D and production have formed a big problem. Chinese chipsEnterprises need to face stricter export control and regulatory requirements, which increases the pressure on technology, capital and market. Secondly, imports are bannedLithography machineetcChipsManufacturing equipment will be for ChinaChipsManufacturing capacity has a direct impact. Chinese chipsThe industry needs to increase investment and independent research and development efforts to make up for the domesticChipsShortcomings in manufacturing technology.

However, there are also opportunities in the midst of challenges. First of all, the United States has given a relaxation in certain areas of consumer goodsChinese chipsEnterprises in these areas of development opportunities, can seek new markets and increase exports. Secondly, this tightening of restrictions also forcedChinese chipsThe industry accelerates independent technological innovation andIndustrial upgradingpace. Chinese chipsEnterprises can increase investment in R&D and production, enhance the ability of independent innovation, so as to improve market competitiveness.

And finally, for the wholeChinese chipsFor the industry, the restrictions can also be seen as a wake-up call. Chinese chipsEnterprises need to strengthen the research and development of their own core technologies, improve their independent innovation capabilities, and reduce their dependence on foreign technologies and equipment. At the same time, strengthen cooperation with all links of the industrial chain to form a joint force and jointly promoteChinese chipsThe development of the industry.

To sum up, the United States has a lot to do with ChinaChipsThe final rule of restriction embodies its "small courtyard and high wall" strategy, by restricting high-tech areasChipsDevelopment, forcedChinese chipsThe industry shifted to the low-end consumer goods sector. The easing and tightening of restrictions this time shows the dual strategy of the United States, rightChinese chipsThe industry presents both challenges and opportunities. Chinese chipsEnterprises need to strengthen independent innovation andIndustrial upgrading, and the first and all parties in the industrial chain to form a joint force to jointly respond to challenges and promoteChinese chipsThe development of the industry.

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