US Commerce Secretary Urges More Funding to Prevent China from Gaining Cutting-Edge Semiconductors
US Commerce Secretary Gina Raimondo’s Plea for Funding
During the Reagan National Defense Forum, US Commerce Secretary Gina Raimondo made a passionate plea for more funding to prevent China from catching up in the field of cutting-edge semiconductors. Raimondo stressed the urgency of denying China access to these advanced technologies.
The Need for Increased Funding
According to Raimondo, the Bureau of Industry and Security, which manages US export controls, requires additional funding from Congress to effectively carry out its mission. She pointed out that her department’s current budget of $200 million is insufficient and emphasized the importance of adequately funding this crucial operation.
Adapting to National Security Priorities
Raimondo acknowledged that the export controls her department has placed on semiconductor exports may impact the revenue of American chip companies. However, she emphasized the need for these companies to adapt to US national security priorities, as protecting national security outweighs short-term financial gains.
Targeting Nvidia Corp.
Raimondo specifically called out Nvidia Corp., a company that designed chips specifically for the Chinese market after the initial round of US export controls was imposed. She warned that if a chip is redesigned to cater to the Chinese market, enabling advanced artificial intelligence capabilities, her department will promptly implement stricter controls.
The Impact of Updated Semiconductor Curbs
The Commerce Department has recently updated its semiconductor curbs to cover Nvidia’s chips made for China. In response, Nvidia has designed three new components for the Chinese market. Raimondo’s remarks highlight the ongoing cat-and-mouse game between the US and China in the semiconductor industry.
The Importance of Vigilance in National Security
Raimondo emphasized the need for constant vigilance in matters of national security. While communication with China can serve to stabilize relations, she stressed the necessity of recognizing the threats posed by China and taking proactive measures to counter them.
Facing the Biggest Threat
According to Raimondo, the situation with China in the semiconductor industry is the biggest threat the US has ever faced. She called for a collective effort to meet this critical moment in protecting national security.
