China is never going to play by USA rules anymore

China is never going to play by USA rules anymore. Trump, Scott Bessent and Howard Lutnik can gloat all they want, the reality is not in what they are singing. China will play by its own rules from now onwards, even in the chip sector.

USA can no longer dictate to China over what it wants. It is the other way round. China has practically banned the chips from Nvidia, despite Trump giving Nvidia permission to sell to China. Now giving permission or not is all a moot point. It is all in the hands of the buyer, which is China, and China said no again to Nvidia.

Nvidia had been designing its H200 chips specifically for the Chinese market to comply with the restriction imposed by the USA. It is going to be another big loss for Nvidia, without China buying those chips like the earlier H20. China has been focusing on the backdoor spying issue in those Nvidia chips earlier. National Security Issues imposed by the USA can now work both ways, and China is just taking a leaf from the USA. What is sauce for the goose is sauce for the gander.

Thanks to the USA, Chinese technology was able to progress faster than usual, especially in the semi-conductor sector. What was to take China a decade to accomplish had now been a much closer gap to be on par. The USA can keep on the pretense that Chinese semi-conductor progress is still stuck in the stone age stage. Let them be.


Anonymous