Beijing appears to have found yet another way to hurt American business after Bloomberg reported on Friday that authorities there had started to ask domestic electric-vehicle manufacturers to ramp up their spending with local chipmakers — at the expense of US ones.
In March of last year, for instance, the Chinese Tesla rival BYD struck a partnership with the tech giant Nvidia to use its specialized Orin chip designs in its Dynasty and Ocean EV models to support everything from autonomous driving and parking to in-car entertainment.
So by asking Chinese carmakers like BYD and the Hangzhou-based Geely to direct their capital expenditure to local chipmakers, Beijing would be putting up another barrier for US tech companies seeking to do business in a market that has become crucial to their growth in recent years.
Nvidia, for instance, has acknowledged in filings that its “competitive position has been harmed” following the introduction of licensing requirements by the US last year that restrict exports to China.
The tough export controls are as much of a pain to the sales numbers of chip giants like Nvidia as they are to Chinese companies that worry the technological capabilities of domestic firms lag those of their US counterparts.
This week offered another form of punishment after the US House voted in favor of a bill threatening TikTok with a ban — unless it is divested from its Chinese parent company, ByteDance, within six months.
The original article contains 531 words, the summary contains 238 words. Saved 55%. I’m a bot and I’m open source!
This is the best summary I could come up with:
Beijing appears to have found yet another way to hurt American business after Bloomberg reported on Friday that authorities there had started to ask domestic electric-vehicle manufacturers to ramp up their spending with local chipmakers — at the expense of US ones.
In March of last year, for instance, the Chinese Tesla rival BYD struck a partnership with the tech giant Nvidia to use its specialized Orin chip designs in its Dynasty and Ocean EV models to support everything from autonomous driving and parking to in-car entertainment.
So by asking Chinese carmakers like BYD and the Hangzhou-based Geely to direct their capital expenditure to local chipmakers, Beijing would be putting up another barrier for US tech companies seeking to do business in a market that has become crucial to their growth in recent years.
Nvidia, for instance, has acknowledged in filings that its “competitive position has been harmed” following the introduction of licensing requirements by the US last year that restrict exports to China.
The tough export controls are as much of a pain to the sales numbers of chip giants like Nvidia as they are to Chinese companies that worry the technological capabilities of domestic firms lag those of their US counterparts.
This week offered another form of punishment after the US House voted in favor of a bill threatening TikTok with a ban — unless it is divested from its Chinese parent company, ByteDance, within six months.
The original article contains 531 words, the summary contains 238 words. Saved 55%. I’m a bot and I’m open source!