Production of semiconductor chip File photo: VCG

China's economic development won't be upended by external containment, while the nation's technology self-reliance will be strengthened, the Foreign Ministry said on Wednesday. 

Lin Jian, a ministry spokesperson, made the remarks during a regular press conference in response to a media question about reported US plans to impose new restrictions on exports of semiconductor equipment to China from the US, Japan, the Netherlands and South Korea.

Chinese industry observers said it indicated that semiconductor equipment makers in those countries would have to bear the losses of their escalating chip restriction measures.

Lin said that China firmly opposed Washington's moves to politicize and weaponize economic, trade and technological issues, and abuse the concept of national security.

"The continuous escalation of US semiconductor export controls to China and Washington's pressure on other countries to suppress China's semiconductor industry, have seriously undermined international trade rules, damaged the stability of the global supply chain and harmed all parties involved," Lin said.

Reuters reported on Wednesday that the Biden administration is planning to unveil a new rule next month tightening key chip-making equipment exports to China by its allied countries, including Japan, the Netherlands and South Korea. 

The rules showed a contradictory relationship between the US and its allies in terms of containing China's semiconductor industry development, Xiang Ligang, director-general of the Beijing-based Information Consumption Alliance, told the Global Times on Wednesday.

"The long-term US strategy on stymieing China's technology advancement means that it needs its allies' assistance, but semiconductor enterprises in those countries have to bear heavy operational losses," said Xiang. 

International semiconductor enterprises have taken measures to tap into the great potential of the world's largest electronics consumer market. For instance, US semiconductor giant Nvidia is reportedly working on a new version of its flagship artificial intelligence chip designed for the China market.

Sales of Dutch chipmaking supplier ASML's lithography systems to Chinese customers hit about 2 billion euros ($2.17 billion) in the first quarter of 2024, accounting for a record of 49 percent of its quarterly total, Reuters reported in April.

"Containment and suppression won't stop China's development. Such moves will only enhance China's determination and ability to achieve technological self-reliance and self-improvement," Lin emphasized. 

Lin noted that China will closely monitor the following developments and resolutely safeguard its legitimate rights and interests. He called on relevant countries to firmly resist coercion and jointly uphold a fair and open international economic and trade order, in order to defend their long-term interests.

Global Times