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China hits US’s USD52bn programme to expand chipmaking

Beijing lashed out at the US's USD52bn programme to expand chipmaking, saying the blueprint violates fair market principles and targets China's efforts to strengthen its chips industry. Yu Xiekang, vice chairman of the China Semiconductor Industry Association, said the US Chips Act, part of a package of incentives worth in excess of USD200bn, is intended to give China's rivals a helping hand. President Xi Jinping called on China to develop an independent and innovative path for technological development even as the US continues to expand its chipmaking sector. Xi said economic globalisation has encountered headwinds and protectionism has risen.

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