US President Joe Biden has started preparing to crack down on tech companies helping the Chinese military. He has signed an executive order in which the investment of American industrialists in China’s big tech companies is banned.
President Biden has taken this step so that the Chinese tech companies that strengthen the capabilities of China’s military do not get help. This Biden step is considered a big step towards taking America further from China.
Following Biden’s order, venture capitalists and equity firms will not be able to invest in Chinese companies that manufacture semiconductors and other microelectronics, quantum computers, and artificial intelligence apps.
The administrative officer said that this decision had been taken considering national security. At the same time, China is taking it to prevent itself from moving forward on a large scale. This decision is seen as a major decision in the relationship between the US and China. After this decision, the gap between the two countries may increase further.
The Chinese economy is going through a difficult phase, so this step taken by the US is considered a big decision against China. In Chinese cities, this year has been described as the year of investment in China. He hopes the local economy will be stronger after the Corona period.
Joe Biden’s delegation discussed high-tech investment during the May G-7 meeting in Hiroshima, Japan. Representatives of several countries had indicated their support. In which UK, European Union are also included.
