Feb 2, 2023
Beijing Lobbies US Allies After Push to Contain China’s Chips
(Bloomberg) -- Days after Japan and the Netherlands joined the US in agreeing to restrict some high-technology exports to China, Beijing has reached out to those American allies, encouraging them to protect existing supply-chain relationships.
Chinese Foreign Minister Qin Gang, in a phone call with his Japanese counterpart Yoshimasa Hayashi on Thursday, called on Tokyo to “continue upholding market principles and openness towards maintaining economic, trade and technological ties” between the two Asian countries.
“China is committed to keeping high-level communications and working together with Japan to maintain stable industrial and supply chains,” Qin said, according to a statement from the Chinese Foreign Ministry.
That conversation followed a separate call by Qin with Dutch Deputy Prime Minister Wopke Hoekstra on Monday, in which he said China sought to “jointly safeguard the stability of international industrial and supply chains, and safeguard an open rather than divisive, orderly rather than chaotic international trade environment.”
Last week, the Biden administration secured an agreement with the Netherlands and Japan to restrict exports of some advanced chipmaking machinery to China, Bloomberg News reported. There was no plan for a public announcement, people familiar with the matter told Bloomberg.
Read More: Biden Wins Deal With Dutch, Japan on China Chip Export Curbs
That agreement, aimed at undercutting Beijing’s ambitions to build its own domestic chip capabilities, would extend some export controls the US adopted in October to companies based in the two allied nations, including ASML Holding NV, Nikon Corp. and Tokyo Electron Ltd.
The US effort has angered China, prompting Foreign Ministry spokesperson Mao Ning to say Monday at a regular press briefing in Beijing that Washington is “abusing export controls,” which would “destabilize global industrial and supply chains.”
In a sign China is eager to ease tensions in its relations with Japan, it resumed issuing visas to Japanese nationals starting Sunday, ending some of the retaliatory measures it took against Covid-related curbs on Chinese travelers, even when Japan maintained its border controls against travelers from China “for the time being.”
Still, Japan in recent months has expressed concern about intensified Chinese maritime activity near islands Japan controls but China claims.
Chinese and Japanese economies are mutually dependent, said Qin, adding that Beijing hopes Japan will focus on safeguarding international trade rules and its own long-term interests. “Both nations should adhere to strategic independence and join hands in developing Asia into a better shape,” he told his Japanese counterpart.
Read Next: US-China Talk of Better Ties But Things Keep Getting Worse
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