The US -China trade and financial relations have a slight thawing but exception of the

Source: Wall Street Journal

Author: jacky wong

After the US -China trade and financial relations have been deeply frozen for a long time, there are obvious signs of frost in the past week.

Chinese stocks, especially investors in the U.S. listing and some technology sectors can now celebrate.But the situation of the chip industry is another matter: the merciless competition in the United States and China in this field will continue.

Although the Chinese economy is still in trouble, some good news has been reported in recent days.The long -term regulatory deadlock around the audit of Chinese companies listed in the United States has already had a satisfactory ending, at least temporarily.

For the first time in Chinese history, American audit officials have been allowed to comprehensively check some audit companies located in China, which is equivalent to resetting many Chinese companies listed on the US Stock Exchange.

The Chinese government's sudden shift to pragmaticism has also extended to some areas of the Chinese science and technology industry: China has allowed US regulators to conduct on -site inspections on Chinese companies facing potential restrictions in the United States technology.Last week, after investigating the end users of some Chinese companies products, the US Department of Commerce removed 25 Chinese companies from the "unattended list". This process was cooperated with the Chinese government.

American companies can also continue to do business with companies on the unqualified list. The list is used to mark which companies cannot prove that they have not provided sensitive technologies to entities (such as the Chinese military) that have been restricted by the United States.If the United States is not allowed to check the end users, the US Department of Commerce has reason to include such companies on the above -mentioned US trade blacklist.

Limited companies that have been lifted include Pharmaceutical Biotechnology Co., Ltd., which provides research and manufacturing services for global pharmaceutical companies.In February this year, the US government included the company's two subsidiaries on the "unattended list".One of the subsidiaries was removed from the list in October.Another subsidiary was also removed from the list last week.The Biden government has hinted that at least some drug supply chains are hoped to return to the United States, but this will increase the cost of American pharmaceutical companies.

However, news that facilitated the Chinese technology industry did not extend to the semiconductor field.Last week, the US Department of Commerce also included China's top memory chip manufacturer Changjiang Storage Technology Co., Ltd. in its "physical list", which means that without the permission of the US government, American companies cannot do business with the company.The US government said that the Yangtze River Storage may transfer products to other Chinese companies that have been included in the entity list, such as Huawei.

This is not surprising, but the ambition to the development of the Chinese chip industry is still a blow.The Yangtze River Storage is one of the few Chinese semiconductor companies that can really compete with market leaders such as Micron Technology and Samsung Electronics in South Korea.

China is reopening, and there are new signs that China is adopting a pragmatic attitude in the issue of Sino -US relations. In addition, the Chinese government is turning the focus of work back to promote economic growth.Essence

But most of the news about the Chinese semiconductor industry is still bad.Semiconductors will still be a fierce competition in Beijing and Washington, and most of the important cards are still in the hands of the United States.