The technology restrictions that was signed by President Joe Biden, restricts US investments in China as a protection against the national security of America.
The latest technology restrictions in China is compared by Washington as a “small yard with a high fence”.
According to the South China Morning Post, the description was meant to be a message of the US to de-risk from China and not to decouple.
Analysts have stated that the technology restrictions have raised further damage to the relationship with China, however this might not entirely alter the direction towards the recovery of the relationship between both countries.
Da Wei, the director for the Center for International Security Strategy at Tsinghua University, said that the technology restrictions was not as sweeping as expected and that the technology restrictions would not affect the planned visit by US Commerce Secretary Gina Raimondo to China. But Da Wei said that Raimondo would have to take time to settle the issue about the technology restrictions during her trip. As Beijing might still have a tit-for-tat response to the order.
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As the technology restrictions was announced, the Chinese foreign ministry was quick to make a response, saying it is an outright economic coercion and tech bullying.
The areas that were covered by the technology restrictions have been at the center of the tech rivalry between China and the US. A day after the technology restrictions was announced, China lifted its ban on group travel between their country and 78 more countries, including America.
Shen Dingli, a Shanghai-based international relations researcher stated that there could be a silver lining in regard to the order in the long run.