What’s New
China on Wednesday warned of disrupted supply chains ahead of Congress‘s vote on a bill that would impose further limits on American technology investments in China on national security grounds.
Additionally, the legislation calls for a government study of vulnerabilities in U.S.-based modems and routers, after a wave of cyberattacks against networking devices carried out by hackers believed to have Chinese state ties. The bill also calls for a review of Chinese property purchases near sensitive sites such as military bases.
Why It Matters
The legislation comes amid escalating U.S.-China trade tensions and tit-for-tat export restrictions. The U.S. continues to tighten controls on technologies, such as advanced semiconductors and chipmaking equipment, that could support Chinese missiles and other weaponry. China has retaliated by banning the export of strategically important metalloids like germanium.