The game between China and the United States has continued to this day, and semiconductors have always been the focus of the game, and just recently, the situation has undergone subtle changes.
According to the Ministry of Commerce, the Minister of Commerce has met with the CEO of Qualcomm and the CEO of Micron.
For the first question, the answer is actually very simple, and that is the Chinese market.
Micron aside, many mobile phone manufacturers in the mainland use Qualcomm chips, these mobile phones are not only popular in the Chinese market, but also sell well in many countries around the world, especially in many developing countries, it can be said that Qualcomm, Nvidia and other chip companies have been inseparable from the Chinese market.
In order to maintain good relations with the Chinese government and Chinese consumers, in addition to the executives of Qualcomm and Micron, Intel CEO Gelsinger, Nvidia CEO Jensen Huang, and Apple CEO Tim Cook have also visited China frequently during this time, and the Dutch prime minister will come to China this week with ASML orders, and these executives are trying to save their company's image in China.
But the problem is that the American semiconductor giants, represented by Qualcomm and Nvidia, are facing high-pressure management by the U.S. government.
As we all know, in order to restrict the development of Chinese semiconductor companies, the United States has adopted blockade measures against China, resulting in many semiconductor companies' high-performance chips can only look at the Chinese market and be anxious. What makes these semiconductor companies even more desperate is that the Biden administration seems to want to intensify and adopt further lockdown measures.
Looking at China again, under the dual stimulation of the US blockade and market demand, China's local semiconductor enterprises have developed rapidly, and semiconductor companies represented by Huawei have initially established a semiconductor industry chain, leaving little time for Qualcomm, Micron, Intel, and Nvidia.
Therefore, while the Biden administration is preparing for the U.S. election and has no time to take care of anything else, the executives of these semiconductor companies came to China to show goodwill. That's one of the reasons why the Commerce Department met with them.
Recently, Beijing held the China Development Forum, at which China demonstrated to the world its achievements and determination to open up to the outside world. This is undoubtedly a shot in the arm for those multinational companies that are ready to move.
No matter how great the ability of multinational corporations is, they cannot get out of the trap of private enterprises, everything is for the purpose of making profits, and as far as the situation of the Sino-US game is concerned, it is undoubtedly not conducive to multinational corporations, and the United States has built high trade barriers that have made many companies miserable, and once China takes measures, it will be tantamount to a catastrophe for some multinational corporations with poor ability to resist risks.
So, after seeing the measures taken by China, these companies have also let go of their suspense.
Obviously, after the Western countries led by the United States have erected high trade barriers against China, "free trade" has nothing to do with the Western world, and China has been pursuing a more open and inclusive foreign policy, and has in fact become a promoter of globalization, but compared with the previous West, our measures are more modest, friendly and equal.
With liberal policies and a well-established industrial base, China is undoubtedly the world's best partner for many multinational companies.
In fact, this layout has been started a long time ago, and it is only now that the results have really appeared. For some multinational companies, it is a matter of time before the United States fails to provide the policies they want, but instead becomes an obstacle to their own development.
The United States did not expect that China would also use the punch of free trade to smash the soft underbelly of the United States.