The Risk for US-China Chip War Escalation is Rising

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China Tweaks Origin Rules to Dodge 125% Tariffs on US Semiconductors

We reported on April 12 that China's redefinition of semiconductor country-of-origin rules aims to circumvent the impact of its 125% reciprocal tariffs on U.S.-designed chips, but this strategy faces significant challenges and potential further escalation in the U.S.-China tech trade war.

Earlier in the day (April 14), President Donald Trump announced a national security trade probe into the semiconductor sector. "We are taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations," he posted on social media. It is a validation of our views.

Read our analysis: https://techsoda.substack.com/p/china-tweaks-origin-rules-to-dodge