It turns out Joe Biden is doing more to protect American industry from Chinese competition than his predecessor. Interesting write-up from Politico on the measures the Biden Administration is taking to boost American technology while simultaneously stifling tech development in China, thereby making the US less dependent on Chinese processors, hardware and systems.
Remember when Fatty put tariffs on… well… virtually everything coming from China, starting a trade war that increased prices and forced the Trump Administration to open hundreds of billions of dollars in subsidies? That didn’t work as well as Biden’s “protect” policy which targets China’s ability to manufacture chips, processors and other technological components while simultaneously pushing a “promote” agenda that boost manufacturing of these products in the US and limit potential US industrial development in China. The CHIPS Act will provide tens of billions in aid over a decade to support the plan.
The “protect” and “promote” prongs of the policy agenda work in an environment where the US and Chinese economies are linked, adding an element of stability to the worldwide market: even during the pandemic and despite Trump’s protectionistic agenda, trade increased between the two countries, the two largest economies on the planet.