U.S. Secretary of Commerce Gina Raimondo said in an interview that the country should focus more on investments in domestic innovation than applying bans and sanctions. “Trying to hold China back is a fool’s errand,” said the politician. She also added that the Biden administration’s CHIPS and Science Act, which led the country to spend more money on building out its chip infrastructure than the past 28 years combined, “matters more than export controls.” Nevertheless, the Wall Street Journal says President Biden still pushed for bans and sanctions against Chinese firms and even urged its allies, including the Netherlands and Japan, to stop China from acquiring advanced tech, especially those containing American tech.
“The only way to beat China is to stay ahead of them,” said Sec. Raimondo. “We have to run faster, out innovate them. That’s the way to win.” Despite the various export controls that the U.S. has applied against several Chinese companies, many of its companies are still able to procure banned chips through the black market and unofficial conduits. Aside from that, Chinese innovation is seemingly continuing, with many businesses and organizations forced to be creative in pursuing their goals despite the roadblocks posed by American sanctions.
