Thanks , a very good read.
But I find this idea self defeating
The United States should enhance its capabilities by funding R&D in advanced semiconductor capabilities, including manufacturing equipment and by providing incentives for the construction of state-of-the-art semiconductor manufacturing facilities in the United States. In addition, the United States and its allies should impose strict export controls on the sale of semiconductor manufacturing equipment for advanced chips to all Chinese companies, private as well as state-owned, while continuing to allow the sale of finished chips to Chinese companies for civilian uses.
The Chinese can also play the game, Did they not think after what Trump had done, the Chinese will also fund and produce their own advanced semiconductor equipment. Huawei is doing IDM now and SMEE will eventually produce an EUVL. Every Chinese Tech company will be wary of buying any US product and subject themselves to the mercy of AMERICAN whims. Lets see if her allies will go along , SK had the backbone to say NO, hope Japan can do the same. It should remind Japan that the US mistrust her as much as she mistrust China, we are all part of what the American term as Yellow Peril.
Given the importance of AI to future warfare China would be stupid not to develop its own semiconductor industry especially according to the same paper
The real danger to data security comes not from 5G base stations but from chip fabrication itself: University of Michigan researchers demonstrated that it is easy to implant an undetectable “back door” among the billions of transistors contained in a thumbnail-sized chip.
Intel is considering outsourcing to TSMC while developing its own advanced process manufacturing. There is no reason why China can't do the same.
In any case, it appears that the U.S. and China does share one common interest: the relocation of state-of-the-art semiconductor factory to the U.S. We all know state-of-the-art here means TSMC as they're currently in the lead and Taiwan has no power to resist American pressure whereas Samsung is a bit behind and South Korea has some power to resist.
Relocation of TSMC's manufacturing facilities to the U.S. has a number of advantages for China:
1. Better chances of poaching TSMC's Taiwanese employees.
2. Reducing China's trade surplus with the U.S. Taiwan is anti-China anyway, and what's keeping Taiwan from declaring independence is China's military power, not cross-strait economic ties. Buying from Taiwan is geopolitically a waste. Better to buy American.
3. Lowering Taiwan's tax revenue. so less money to buy American weapons.
4. Less economic/supply chain reasons for U.S. military intervention over Taiwan.