A Huawei Mate 30 pro mobile phone is seen at the Huawei research and development centre inAs the U.S. Department of Commerce adds more Chinese companies to its Entity List, Chinese companies have become increasingly unwilling to rely on U.S. suppliers who must obtain a license from the U.S. government in order to sell that technology to them. While public attention has been focused on the recent campaign against Huawei, the seminal event was probably in early 2016 when the U.S.
American companies will sell less, as firms like Huawei find substitutes. Some replacements will be easy – instead of buying memory chips from Micron, Huawei can buy them from Samsung or Hynix, or Yangtze River Memory Technology as that indigenous company becomes increasingly capable. Smaller specialist American firms will be hurt disproportionately, as both the Chinese government and Chinese firms like Huawei invest in and seek to strengthen Chinese firms that might otherwise not have survived in a global competitive marketplace. Huawei has to do this because they need to develop alternatives. In an earlier era when the American market was the largest in the world and access to it was essential to build scale and production learning, this might not have mattered.
China will use its new economic resources to build everything at home whether its High tech chips or machines. What China cant develop, it will steal or force to transfer from foreign companies in civil or defense areas Soon US and Europe countries like Germany will realise it
China is going to replace US and Germany anyway Article saying that US sanctions has made China to look into self reliance is not right. It may have fastened the process by 5-10 years, but China was going to become self reliant anyway. If you dont agree then look at other fields