U.S. and China Ministers in Trade Chat: Chip Exports in Focus

Amid recent high-level talks between the United States and China, the two countries trade ministers had a phone call to discuss economic and trade issues. China, in particular, expressed concern about the U.S.’s restrictions on the export of semiconductor equipment to third countries.

According to China’s Ministry of Commerce on the 11th, Wang Wentao, the Chinese Minister of Commerce, and Gina Raimondo, the U.S. Secretary of Commerce, had a phone call that day and had an in-depth and substantive dialogue on the economy and trade, which are their respective concerns, focusing on the implementation of important agreements at the U.S.-China summit in San Francisco.

During the meeting, Wang stated that the recent U.S.-China summit had established a clear direction for the evolution of economic and trade relations between the two nations. He underscored the importance of both sides actively engaging in the commerce departments’ exchange mechanism and fostering favorable conditions to facilitate corporate cooperation.

Minister Wang also voiced “serious concerns” regarding the United States’ demands for restrictions on the export of semiconductor production equipment to third parties. He mentioned the U.S.’s investigation into the semiconductor supply chain and the sanctions and pressure applied to Chinese companies.

Earlier this month, ASML, a Dutch semiconductor equipment company, announced that its government had partially revoked the license to export its lithography equipment to China. It was known to be in response to the U.S. administration’s request to ASML to cancel equipment transportation to China.

The two sides also discussed security issues in the U.S.-China economy and trade.

Concerning this, Gao Feng, a spokesperson for China’s Ministry of Commerce, said, “We are watching the issue of the U.S. directly intervening and obstructing the export of Dutch companies to China,” and “China firmly opposes the U.S. tooling, weaponizing the export control issue, and even interfering with normal trade between other countries’ companies.”