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> So it will give China absolutely nothing It essentially gives them tremendous power over the world. All they have to do is threaten to shut it down, or ban e
by cronix 5y ago
> So it will give China absolutely nothing
It essentially gives them tremendous power over the world. All they have to do is threaten to shut it down, or ban exports to the west, or put very high tariffs on them. In addition to gaining all IP from customers. What do you think that will do to all companies that rely on cutting edge TSMC nodes such as Apple? Tesla? Nvidia? These new plants won't likely be putting out M1 chips, etc., the cutting edge fabrication is held physically in Taiwan. It would be a great way to collapse the economies of the world as you are rising, if one were aiming at doing such a thing.
- FooBarWidget 5y agoAnd why would they do that? They themselves also need advanced chips, which they can't get when the west boycotts supplies. In the end, such actions are doubled-edged swords, nobody benefits. I find all this decoupling rhetoric/fear very weird and contradictory. On the one hand people say we should decouple from China, on the other hand we fear decoupling from China and we get furious when they initiate decoupling (see Australian trade). In the mean time actual Chinese officials keep saying that a trade war benefits nobody and keep calling for rational decision making.
- ohashi 5y agoTrade war benefits nobody, but if you can gain slight advantages by manipulating currency, stealing IP, etc, you can get ahead while 'saying the right thing.'
- elzbardico 5y agoChina depends on global commerce as much as the US or Europe. It is not on their best interests to create a global tech crash.