US launches new probe into legacy Chinese chips as tech pressure on Beijing escalates

The Biden administration on Monday said it launched a new probe into legacy Chinese semiconductors that may go into everything from cars to household goods and defense systems.
China “routinely engages in non-market policies and practices, as well as industrial targeting” of the chip industry,” the White House said.
The investigation will look into China’s “acts, policies, and practices on the production of silicon carbide substrates or other wafers used as inputs into semiconductor fabrication.”

China is looking to challenge the U.S. in artificial intelligence. China’s tech giants have launched their own AI models. 
Niphon | Istock | Getty Images

The Biden administration on Monday said it launched a new probe into legacy Chinese semiconductors that may go into everything from cars to household goods and defense systems.
China “routinely engages in non-market policies and practices, as well as industrial targeting” of the chip industry, which allows Chinese firms “to significantly harm competition and create dangerous supply chain dependencies in foundational semiconductors,” the White House said in a statement.

The so-called Section 301 investigation will look into China’s “acts, policies, and practices on the production of silicon carbide substrates or other wafers used as inputs into semiconductor fabrication,” the White House added.
Overall, Washington’s probe looks to assess the U.S. dependency on legacy Chinese chips in areas spanning everything from telecommunications to the electrical grid.
The new investigation marks an escalation of U.S. pressure on China’s semiconductor industry. To date, many of the actions taken by Washington have sought to target the most cutting-edge chips, in particular those used in the booming artificial intelligence sector.
So-called legacy chips are produced with less advanced manufacturing technique. Chinese manufacturers of chips still remain generations behind industry leaders like TSMC, but they are able to produce legacy chips at scale.
The latest investigation into Chinese legacy chips is being conducted under the Trade Act of 1974. One potential remedy that can be imposed under this law is placing tariffs on the products in question.

The Biden administration has continued to target China’s tech sector this year with increased import tariffs on products from electric vehicles to semiconductors. The latest action comes just weeks before the incumbent U.S. president hands over the reins to Donald Trump.
Reuters, citing Biden administration officials, reported on Monday that the probe into legacy chips will be handed over to Trump’s administration to complete.

US launches new probe into legacy Chinese chips as tech pressure on Beijing escalates

The Biden administration on Monday said it launched a new probe into legacy Chinese semiconductors that may go into everything from cars to household goods and defense systems.
China “routinely engages in non-market policies and practices, as well as industrial targeting” of the chip industry,” the White House said.
The investigation will look into China’s “acts, policies, and practices on the production of silicon carbide substrates or other wafers used as inputs into semiconductor fabrication.”

China is looking to challenge the U.S. in artificial intelligence. China’s tech giants have launched their own AI models. 
Niphon | Istock | Getty Images

The Biden administration on Monday said it launched a new probe into legacy Chinese semiconductors that may go into everything from cars to household goods and defense systems.
China “routinely engages in non-market policies and practices, as well as industrial targeting” of the chip industry, which allows Chinese firms “to significantly harm competition and create dangerous supply chain dependencies in foundational semiconductors,” the White House said in a statement.

The so-called Section 301 investigation will look into China’s “acts, policies, and practices on the production of silicon carbide substrates or other wafers used as inputs into semiconductor fabrication,” the White House added.
Overall, Washington’s probe looks to assess the U.S. dependency on legacy Chinese chips in areas spanning everything from telecommunications to the electrical grid.
The new investigation marks an escalation of U.S. pressure on China’s semiconductor industry. To date, many of the actions taken by Washington have sought to target the most cutting-edge chips, in particular those used in the booming artificial intelligence sector.
So-called legacy chips are produced with less advanced manufacturing technique. Chinese manufacturers of chips still remain generations behind industry leaders like TSMC, but they are able to produce legacy chips at scale.
The latest investigation into Chinese legacy chips is being conducted under the Trade Act of 1974. One potential remedy that can be imposed under this law is placing tariffs on the products in question.

The Biden administration has continued to target China’s tech sector this year with increased import tariffs on products from electric vehicles to semiconductors. The latest action comes just weeks before the incumbent U.S. president hands over the reins to Donald Trump.
Reuters, citing Biden administration officials, reported on Monday that the probe into legacy chips will be handed over to Trump’s administration to complete.

Paying Premium for Simplicity: US Spends $10.58 Billion on Low-Tech 155mm Shells for Ukraine

Despite the higher per unit cost of more advanced weapon systems, including ATACMS missiles, interceptor missiles for the Patriot air defense systems and armored vehicles like the Abrams tanks or Bradleys, the United States spent a lion’s share, over 20% of its overall military aid package to Ukraine, or about $10.58 billion, on low-tech 155mm artillery shells, a Sputnik correspondent’s analysis of the US Department of Defense (DoD) budget reports showed. Although the 155mm artillery shells are relatively cheap, costing around $2,000-3,000 per round, compared to other more advanced weapon systems, the massive demand from Ukraine on the battlefield has reportedly strained the manufacturing capacities in the US and forced the US Army to inject additional investments to ramp up production. Under the Joint Program Executive Office Armaments and Ammunitions, the US Army said it planned to expand the production rate of 155mm artillery shells to 100,000 per month by 2025. More Expensive Than MissilesAccording to the latest figures released by Ukraine Oversight, a project of the Special Inspector General for Operation Atlantic Resolve, $45.8 billion in security funding has been appropriated to the DoD to replace weapons and materiel donated to Ukraine under the Presidential Drawdown Authority (PDA), as of September 30. The additional cost related to replacing 155mm artillery shells, is estimated to stand at about $10.58 billion and would account for about 23.1% of the total replenishment funding of $45.8 billion, according to Sputnik’s analysis of DoD budget reports. In comparison, other DoD budget reports showed that the replacement cost for other more advanced weapon systems, such as the Bradley infantry fighting vehicles, stands at about $4 billion during the two previous fiscal years, and the Patriot Advanced Capability-3 (PAC-3) Missile Segment Enhancement (MSE) missiles, about $3.26 billion in two fiscal years, were actually much lower. Taking up about 23.1% of the total replenishment funding would also make the low-tech 155mm artillery shells the most expensive single weapon system of the overall US military aid to Ukraine. Billions of Additional Funds While the DoD did not disclose how much the 155mm artillery shells cost when announcing each new military aid packages for Ukraine, additional DoD reports on “reprogramming action” showed that the low-tech artillery shells actually became the most expensive part of the overall US military aid. As part of the DoD’s efforts to maintain transparency on how Ukraine aid funding was spent, the office of the DoD’s Chief Finance Officer would release a special report on “reprogramming action” whenever additional funds were transferred to the US military’s budget to replace the weapons that were sent to Kiev. According to the “reprogramming action” report released in September 2022, the US Army’s budget for “artillery projectile 155mm all types” jumped to $390.4 million from the original request of $142.6 million for fiscal year 2022. However, to manufacture a complete round of 155mm artillery shell, the “artillery projectile” was only part of the component. Additional “Artillery Propellants, Fuzes and Primers” were also needed to produce a complete artillery shell. During fiscal year 2023, the US Army’s additional “supplemental funding” for the replenishment of 155mm artillery shells delivered to Ukraine stood at a total of $3.59 billion, according to its annual budget reports. For fiscal year 2024, the US Army’s additional funding related to the replacement of 155mm artillery shells sent to Ukraine was about $3.785 billion, including around $1.485 billion for “artillery projectile 155mm” and $2.3 billion for “Artillery Propellants, Fuzes and Primers,” according to two DoD “reprogramming action” reports released in June and September, respectively. In addition to the extra funding for the direct replenishment of 155mm artillery shells, the production bottleneck also forced the US Army to allocate additional funding to “ammunition production base support” as part of its efforts to ramp up the production of such shells. During fiscal year 2023, $1.4-billion “emergency supplemental funding,” transferred from the Ukraine aid funding, was invested into boosting the production capacity of such artillery shells in the United States, the US Army’s annual budget reports showed. For fiscal year 2024, the US Army requested another $726 million for the “ammunition production base support.” As a result, the additional cost related to replacing 155mm artillery shells provided to Ukraine during the previous three fiscal years reached a jaw-dropping $10.58 billion, including $8.455 billion for the procurement of replacement components and $2.126 billion for helping the industrial base to ramp up ammunition production.

Viral video: Trump calls woke culture ‘bulls***’, says it is destroying US. Elon Musk reacts

US President-elect Donald Trump, during his fiery speech at the AmericaFest In Phoenix, Arizona, on Sunday slammed the “woke culture”, calling it “bullshit”. He blamed the woke culture for undermining America’s strength. The 78-year-old’s comments sparked widespread reactions on social media including an endorsement from Elon Musk, who tweeted “YES!” alongside a viral clip of…