Tuesday, 02 January 2024 12:17 GMT

Raimondo Wants More And Better Tools To Curb Huawei


(MENAFN- Asia Times) The United States has vowed to add new tools and increase resources to enforce its export-control regime after China's sanctioned tech giant Huawei Technologies' recent breakthrough in producing 7-nanometer (nm) chips.

US Commerce Secretary Gina Raimondo told a Senate Commerce Committee hearing on October 4 that reports of Huawei's chip breakthrough were“incredibly disturbing.”

Raimondo said more resources were needed for the enforcement of the export controls, Washington's top tool in its chip war with China. She also said her department should be granted more power to check whether any technology transactions may pose national security risks.

As an example, she said that earlier this year the Commerce Department had imposed the largest-ever fine in history on a US firm for selling items to Huawei without a license.

She was referring to the case in April where Seagate Technology agreed to pay a US$300 million penalty in a settlement with US authorities for shipping over $1.1 billion worth of hard disk drives to Huawei in 2021 without a license.

“The launch of Huawei's new 5G mobile phones has proven that the effectiveness of the US curbs against China's chip sector is not satisfactory,” He Wenping, a researcher at the Chinese Academy of Social Sciences and a commentator for China Central TV, says in an article published on October 5.

She says the fact that the US highlighted its effort to punish a firm that had violated its export controls two years ago showed how urgently Washington wishes to contain China's technological development.

“The US feels anxious as it can't suppress China's development. But it will not admit this,” He asserts in the article.“After seeing China's breakthrough, Raimondo has chosen not to face the reality but to try to further suppress China's chip sector.”

She says the US will continue to use political means to interfere with commercial operations in order to maintain its leading position forever. She says the US will not succeed as more sanctions will only push China to achieve more breakthroughs.

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