Paul Triolo, a senior associate at the Center for Strategic and International Studies (CSIS), recently shared his insights on the semiconductor industry and its critical role in shaping U.S.-China relations.
According to Triolo, the semiconductor industry has emerged as the most crucial geopolitical issue between the U.S. and China. He noted that recent changes in China have been influenced by both the Trump and Biden administrations' heightened U.S. export controls on China.
Triolo pointed out that access to industry insights within the Chinese government and private Chinese companies has become more challenging in 2021 due to increased sensitivity around the semiconductor industry. He highlighted Washington D.C.'s adoption of a "choke point strategy," aimed at slowing down China's advanced node production due to potential military applications.
In light of escalated U.S. export controls, Triolo explained that Chinese firms' ability to access advanced semiconductors is now closely tied to their domestic toolmaking and manufacturing capabilities' development speed. This link is particularly pronounced as more Chinese design firms are unable to utilize foreign foundries. The U.S., he said, controls future market modernization, pushing Chinese companies towards production methods independent of Western inputs. Furthermore, he noted that the Chinese government is increasingly collaborating directly with private companies to advance certain technologies.
Triolo serves as a non-resident senior associate with CSIS's trustee chair in Chinese business and economics based in Washington, D.C. With over 25 years of experience in various roles within the U.S. government, he has extensively studied China's advancements in technology, cyber power, and science. Triolo holds a master's degree from Catholic University of America and a bachelor's degree from Penn State University.
