The semiconductor industry is worsening due to trade wars

By Hotenda

"CNBC" reported that SEMI China's president Julong recently said that the trade tension between China and the United States may worsen the already slowing semiconductor industry situation. Geopolitical risks are the main uncertainties of the industry, while the US technology Control, as well as export restrictions on Chinese technology giant Huawei, may also have a far-reaching impact on the industry, fundamentally changing the global supply chain.

Julong said that if the US ban restricts Huawei from acquiring products from US companies such as Qualcomm and Intel, the industry slowdown will be worse because Huawei is the world's third-largest chip buyer and The company dominates the semiconductor industry, and the damage from US sanctions is likely to extend to the United States itself.

Julong, president of the International Semiconductor Industry Association (SEMI) China, said that US companies control 50% of the global semiconductor market, including memory chips. If they do not contain memory chips, they may exceed 60% to 70%. Huawei's sale of products will have a major impact on US companies.

Julong believes that the US boycott of Huawei may ultimately benefit non-US companies that do not cooperate, while Huawei has stepped up efforts to develop products affected by sanctions, such as the mobile operating system Harmony OS.

Julong said, "I still believe that global cooperation is the way to promote industrial development. Although political differences, but technically still able to cooperate, I think this is a lesson that everyone can learn."

A few days ago, it was reported that after US President Trump announced permission to sell some products to Huawei for nearly two months, the US Department of Commerce has received more than 130 sales license applications from US companies, although Trump has not yet approved any licenses. Application.

The global semiconductor industry is facing multiple challenges such as inventory, reduced demand for smart devices and falling prices of memory chips. It is beginning to see a slowdown in growth. The trade tensions in the US are likely to further drag down the entire industry.

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