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Biden Opens Sneaky New Front in Trade War Against China
Chris Miller provides an in-depth look at the U.S. administration’s new stance, look to the South Korean semiconductor firm Magnachip, via his article in Foreign Policy.
![Foreign Policy Logo](/sites/g/files/lrezom941/files/styles/large/public/2022-03/news-foreign-policy-logo.jpg?itok=7czSGDds)
Want to understand the Biden administration’s China strategy? Set aside the South China Sea and the Quad. A more useful marker of the administration’s thinking may come from a South Korean company that few in Washington have ever heard of. Magnachip, based in South Korea, produces a type of semiconductor needed in the most advanced screens, such as those for the newest smartphones. It’s a small company, with revenues of around $500 million last year, a tiny fraction of chip industry behemoths like Intel or Taiwan’s TSMC. But the Biden administration is now blocking its purchase by a Chinese private equity fund. The fate of the deal will send a major message about how Washington is thinking about the United States’ economic relationship with China.