China launches Anti-dumping probe against some US chips. - Bloomberg

China launches Anti-dumping probe against some US chips. - Bloomberg

China has initiated an anti-dumping probe against certain US semiconductor chips, a move that could significantly impact global trade dynamics and the technology sector. The probe, launched by the Chinese Ministry of Commerce, targets a range of US-made chips, citing concerns over unfair trade practices and dumping.

The probe comes amidst growing geopolitical tensions between the US and China, particularly in the realm of technology and trade. The Chinese government has been increasingly vocal about its concerns over the dominance of US technology companies and the potential security risks associated with them. The anti-dumping probe is part of a broader strategy to protect domestic industries and reduce reliance on foreign technology.

The probe could lead to tariffs or other trade barriers being imposed on the affected US chips, potentially driving up costs for Chinese companies that rely on these components. This, in turn, could impact the global supply chain, as many technology products incorporate US-made chips.

In the US, the probe has been met with concern and criticism from lawmakers and industry groups. Some have argued that the probe is a retaliatory measure in response to US actions against Chinese technology companies, such as Huawei and ZTE. Others have expressed concern that the probe could disrupt the global semiconductor market and hinder innovation.

The probe is expected to take several months to complete, with the findings and potential actions to be announced later this year. In the meantime, both sides are likely to engage in negotiations and discussions aimed at resolving the issue and mitigating any potential disruptions to trade.