China Tensions Escalate.
Hong Kong —
China significantly escalated its trade standoff with the United States Monday, saying that tech giant Nvidia, the most valuable company on the US stock market and a key provider of artificial-intelligence chips, had violated anti-monopoly laws.
Chinese regulators’ announcement of the results of their preliminary antitrust probe comes as US and Chinese diplomats hold their fourth round of trade talks in Madrid this week. Treasury Secretary Scott Bessent, leading the talks for the United States, said Sunday that discussions had been progressing well.
But the Trump administration had also upped the pressure leading into the talks. On Friday, the US Commerce Department placed two Chinese chipmakers on the so-called Entity List, barring GMC Semiconductor Technology Co. and Jicun Semiconductor Technology from purchasing US semiconductor technology.
David Goldman, ‘CNN’
Trade and tariffs have rocked the international economic order like never before. The current Administration is continues to impose hefty trade barriers on a whim even though the lasting implications are often completely unknown and can have grave implications for the broader economy. The Chinese have used their leverage to make the negotiations as onerous as possible on deeply Red agricultural states in hopes of gaining a bargaining advantage. Their tactic may be working.
