As has always been their long term plan, the Chinese are everywhere, and not in a good way. Chinas silent war has been escalating for decades with each new advancement in technology. But playing the same game for too long is a risk every hardened criminal would advise against if asked. It only increases the chances of getting caught.
Commerce Secretary Wilbur Ross is no fool. He understands that just because you can’t see an enemy does not necessarily mean they aren’t there. Hiding in plain sight has won many a battle.
Roughly 80 or so worldwide firms, the bulk of which are located in China, are suspected of presenting national security risks. These companies will be identified on a list that will prevent them from having any access to any American technology, whatsoever.
Ross explained his motives. “What this is all about is these are companies that are tied to the People’s Liberation Army. This has to do with their access to very advanced semiconductor products.”
Where national security is concerned, size means nothing to Ross. Semiconductor Manufacturing International Corp. (SMIC), which is a giant in the semiconductor business, is on the hit list. They provide chips to mega-firms such as Qualcomm and Broadcomm.
Another major player going on the blacklist, and one you might be more familiar with, is Huawei. Ross told the Wall Street Journal that the move will “ensure that China, through its national champion SMIC, is not able to leverage U.S. technologies to enable indigenous advanced technology levels to support its destabilizing military activities.”
Blacklisting Huawei also meant shutting out the companies 150 affiliates. Another Chinese-owned industry giant, ZTE Corp, was found guilty of violating sanctions, also landing them on the no more business in the U.S. list.
The Department of Commerce sent letters out to certain domestic companies in Sep. telling them they must now obtain a license before exporting particular products to China. The letter said such a move “may pose an unacceptable risk of diversion to a military end-use in the People’s Republic of China.”
The U.S. Defense Department just last month added SMIC to its blacklist of firms with alleged ties to the Chinese military. Doing so also bans any U.S. trade investors from buying shares of the company. As one would rightly expect, SMIC claims there is no truth to the matter.
The Trump administration maintains a frequently updated and often used list of Chinese companies under their watchful eye. In its entirety, the list contains in the area of a staggering 300 China-based firms and their many offshoot affiliates, that in some even small way play a part in their countries evil Communist scheme.
Hikvision, a manufacturer of surveillance cameras and equipment, was blacklisted because of rendering aid to the CCP involving the persecution of several groups. In 2013, the company’s security manager, Qian Hao, openly gloated about how their network of cameras “can help preserve stability by seeing which family someone comes from, then persuading their relatives to stop them from harmful behavior, like with Falun Gong.”
Falun Gong is a form of prohibited meditation. Those who by tradition practice this form have suffered severe human rights abuses for the past two decades. Hikvision’s technology also helps the Communist party keep their thousands of Uyghur slaves in line. Big brother is always watching.
The Chinese may receive praise for their intellect in the field of technology, but outside of diodes and capacitors, they’re pretty stupid. Truth be told, we’ve sat by and watched for decades, knowing full good and well what China was up to. It just took a guy like Wilbur Ross to finally put them in their place.
Too bad he’s leaving right when we need him the most.