Semi Equipment Analysis Message Board

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Technology Stocks : Semi Equipment Analysis

SOXX 309.40

+1.0%

Dec 5 4:00 PM EST

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To: Sam who wrote (85583)	9/7/2020 9:46:01 AM
From: Sun Tzu	Read Replies (2) of 95530

China is a major buyer of equipment to produce semiconductors and is expected to account for around 24% of global purchases this year. Therefore, blacklisting companies such as SMIC could also hurt makers of the equipment, including those from the U.S., the analysts said. The U.S.-China tech dispute is part of a broader conflict between the world’s top two economies. While a damaging tariff war has been halted, the two countries have recently clashed over a wide range of issues that include the origin of the coronavirus and Hong Kong’s autonomy. Before the announcement of SMIC’s potential blacklisting, the U.S. had made other moves against Chinese tech players, noted Martin. That includes requiring foreign manufacturers using American chip-making equipment to get a license before selling semiconductors to Huawei, he said. “They’ve really been trying to close down the China tech sector.”

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