China Probes US Chip Exports, Initiates Antidumping Investigation

Chinese authorities have launched an official investigation into U.S. chip exports and initiated an antidumping probe, escalating trade tensions between the two countries, according to S&P Global and Everstream Analytics.

China Probes US Chip Exports, Initiates Antidumping Investigation
tomshardware.com

China Launches Probe into U.S. Chip Exports

Chinese regulators have opened an investigation into U.S. chip exports, focusing on whether American export rules discriminate against Chinese companies, according to Everstream Analytics. The probe comes as Beijing scrutinizes U.S. policies that require chipmakers to manufacture one chip in the United States for every chip imported from abroad, a rule reported by Tom's Hardware to be part of recent U.S. government measures. The investigation is expected to examine the impact of these regulations on Chinese technology firms and the broader semiconductor supply chain.

Officials in China have expressed concerns that the U.S. export controls may violate international trade norms and hinder the competitiveness of Chinese tech companies. Everstream Analytics reported that the investigation will also address antitrust questions related to the export of chip-related products. The move follows a series of U.S. actions targeting Chinese technology exports, which have drawn criticism from Chinese authorities and industry groups.

Antidumping Investigation Targets U.S. Practices

In addition to the chip export probe, Chinese authorities have initiated an antidumping investigation into U.S. trade practices, as reported by S&P Global. The investigation will assess whether U.S. companies are selling chip-related products in China at unfairly low prices, potentially harming domestic manufacturers. According to S&P Global, this action is part of a broader effort by China to respond to what it views as discriminatory trade measures imposed by the United States.

The Chinese Ministry of Commerce is expected to lead the investigation, focusing on the pricing and market behavior of U.S. semiconductor firms operating in China. The probe could result in the imposition of tariffs or other trade remedies if authorities determine that dumping has occurred. S&P Global noted that the outcome of the investigation could affect billions of dollars in U.S. chip exports to China, one of the world's largest semiconductor markets.

International Trade Tensions Escalate

The Chinese investigations come at a time of heightened trade tensions between major economies, with both the United States and the European Union increasing scrutiny of Chinese exports. According to EY's Trade Strategy team, the U.S. Secretary of Commerce recently initiated a separate investigation into imports of Chinese origin, a decision expected to affect $52 billion in imports. Meanwhile, the European Union has launched multiple anti-dumping probes against Chinese goods, as reported by Business Standard.

Trade analysts warn that the escalating series of investigations and countermeasures could disrupt global supply chains and impact the technology sector. According to China Daily, critics argue that such measures risk undermining international trade relationships and slowing the transition to greener technologies. The outcome of the Chinese probe into U.S. chip exports and the related antidumping investigation will be closely watched by industry stakeholders and policymakers worldwide.

Sources