Latest tariffs to speed up nation's semiconductor innovation drive

While the broader economic fallout of the US tariff policies remains uncertain, China's semiconductor industry is poised to emerge stronger in the long run, particularly in upstream sectors like chip equipment and components, despite short-term disruptions, analysts said.

Highlighting China's steady progress in chips for smartphones, artificial intelligence and automobiles, they said Washington's bullying tariffs and increasingly tightened chip restrictions will motivate Chinese companies to double down on research and development to achieve tech breakthroughs and even build semiconductor supply chains independent of US technologies.

Jack Gold, principal analyst at the consulting company J.Gold Associates, said "What's actually happening is that the US government right now is handing China a big win as it tries to get their own chip business going."