No more installation, China and the United States have already had a comprehensive showdown in the field of chips.

Recently, three major events have occurred in the semiconductor field:

The first issue is that the United States requires TSMC to cut off the supply of chips above 7nm to us.

The second issue is that the United States has released its latest export control list, which includes 140 Chinese entities under control.

The third is that we launched a counterattack, directly controlling the export of important materials in the semiconductor field, such as gallium, germanium, antimony, graphite, etc., to prevent the United States from importing them at will. Then, four major associations, the China Internet Association, the China Semiconductor Industry Association, the China Automobile Industry Association, and the China Communications Enterprise Association, jointly issued a blockbuster statement, directly pointing out that American chip products are no longer safe and reliable, and American chips should be purchased carefully.

At this point, we can basically assume that the chips between China and the United States have reached the eve of complete decoupling. Anyone who has illusions about the United States is inexplicably naive.

Why do you say that? For two main reasons:

Firstly, the sanctions imposed by the United States have been intensified to processes above 7nm, entering the most advanced field. Further sanctions would not have much significance.

Secondly, the 140 companies subject to export controls by the United States this time have a very wide range of targets and are extremely targeted. Basically, all prominent companies in the Chinese semiconductor industry have been included, such as the 9 companies in Huawei’s industrial chain, including Pengxin Xu and Shengwei Xu, which are on the sanctions list. In addition, major subsidiaries of SMIC Group have also been completely eliminated, such as SMIC North, SMIC Beijing, SMIC South, and even many production equipment enterprises, such as Northern Huachuang, Shengmei Semiconductor, Tuojing Technology, Xinyuan Micro, etc., have appeared on the list.

It can be said without exaggeration that the United States has launched a comprehensive and saturated attack on China’s semiconductor industry, with sanctions covering not only electronic technology, communication technology, artificial intelligence, computer and network technology, but also transportation infrastructure, aerospace and defense industry, biomass energy and medical industry, and so on. It is a comprehensive attack with no blind spots.

So, you can completely believe that the chip industry between China and the United States has already started a full-scale war!

Seeing this situation, I know that everyone is most concerned about two issues:

Why did this happen?

Another question is how can we solve the current predicament?

Let’s answer the first question one by one, why has the chip industry between China and the United States reached the stage of complete decoupling?

For two reasons:

The first reason is that the AI field has become the biggest variable determining the global situation and future trends. Whoever can achieve a qualitative breakthrough first will lead the next technological revolution, which will greatly change the course of human history.

And chip is the core technology that provides computing power for artificial intelligence, so Americans must do everything possible to stop us from advancing in this field.

There are some very absurd statements on the Internet, saying that comprehensive sanctions are Huawei’s problem. If Huawei does not oppose the Americans, China will always get American chips, so they throw all the pot to Huawei. This kind of statement is typical of capitulationism. They try to compromise in exchange for American forgiveness, and get American gifts by kneeling and licking.

But this group of people can’t see clearly the basic trend, that is, whether Huawei is an enterprise or not, Americans will definitely suppress our high-tech field in an all-round way in order to prevent us from climbing technology. This is a fundamental conflict of national interests, not a decision of an enterprise.

So, don’t make those naive remarks anymore.

Of course, in addition to the core reason of the Sino US scientific and technological revolution, there is another important reason why Americans will kill us. That is, the speed at which we light up the science and technology tree is so exaggerated that Americans must do their utmost to stop it.

If you will recall the history, it has been six years since 2018 since China and the United States fought in the semiconductor field. During the six years, Americans have banned the export of chips, sanctioned the process of chip processing, and blocked the sales of lithography machines. Even now, it has developed to the point that Asma is not allowed to maintain lithography machines for us. It is no exaggeration to say that in order to prevent the development of China’s chip industry, Americans have basically used all the methods they can use.

What are the potential outcomes that can be obtained?

First, the domestic lithography machine was officially unveiled, and the Chinese people have a purely domestic lithography machine industry chain.

Secondly, China’s chip production has reached an astonishing 139.9 billion pieces, making it an important chip producing country in the world.

Thirdly, Huawei has pulled out high-end chips with 7nm process technology on its own despite being completely cut off from supply.

When these three facts were presented to the Americans, they were shocked and bewildered, because the United States was able to create a complete set of chip industry chain with the help of the whole western countries. As a result, China can solve this problem alone. How strong is China’s industrial manufacturing capacity?

Of course, in addition to being shocked, they must also feel fearful because the sanctions have reached such a level that they cannot stop the development of China’s chip industry. There is no better option than complete decoupling.

Therefore, based on this consideration, American talents have made this important decision in the past few days, because this is their final trump card. Can they block the development of Chinese chip and artificial intelligence.

With this in mind, let’s take a look at the second issue that we are most concerned about. That is, should we worry about the overall decoupling of Americans in the chip field?

My conclusion is very clear. Don’t worry, because Americans used the wrong method to attack China’s chip industry at the beginning.

Bill Gates has publicly appealed for many times, saying that only by supplying unlimited chips to China can the progress of Chinese research and development be slowed down.

He said this because he knew Chinese people too well. As the richest man in the United States for many years, Bill Gates frequently traveled between China and the United States when he was young. He knew that there was one and only one useful way to strangle China’s chip industry, which was to dump chips on China.

When a large number of high-quality and affordable American chips enter the Chinese market, it will lead to the collective bankruptcy of a large number of Chinese semiconductor companies, because the chips they produce have poor performance, high costs, and no sales market. Without sales, there will be no research and development funds, and without capital investment, there will be no technological progress. In this way, China’s domestic chip industry chain will always lag behind the United States for decades. This is the best solution to contain us.

Americans have successful experience in this practice of dumping to destroy an industry in China. At the beginning of the 21st century, the United States launched a soybean war against us. At that time, they used a large number of agricultural subsidies to make American soybeans take an overwhelming advantage in price, and then poured into the Chinese market.

At that time, we lacked experience in dealing with such things, and we were a bit pleased to see American soybeans so cheap. However, just one year later, under the impact of American soybeans, China’s soybean enterprises and soybean planting industry suffered a devastating blow. At that time, 97% of Chinese soybean enterprises went bankrupt, and soybean planting industry shrunk sharply. Then, the United States took over China’s soybean industry comprehensively.

It is clear that the successful experience of the United States is that the United States does not learn from it, but always suppresses and sanctions us. But history has proved countless times that China, as a country, has never been afraid of sanctions and blockades. After all, we have spent 75 years since the founding of the People’s Republic of China, almost 40 or 50 years in sanctions and blockades. We have a complete set of response plans, so even if the United States and the Soviet Union put more pressure on us, we still completed industrialization and created the entire industrial chain.

What we are really afraid of is the environment of boiling frogs in warm water. Once Americans are friendly to us, there will be a lot of voices against independent scientific research in China, because they think that it is better to spend so much effort on research and development than to buy directly, which is the biggest resistance to balance China’s development.

However, the Americans obviously haven’t learned from the historical experience. They have always imposed heavy sanctions on us and tried to overwhelm our will with power. However, the history of the Chinese people for thousands of years is a vast history of struggle. Yugong moved mountains, Dayu controlled floods, and Jingwei reclaimed the sea. These myths circulating in China are stories of Chinese people fighting against the sky. The Chinese people are not afraid of the sky. How can they be afraid of American oppression?

So the more the Americans suppress it, the faster we move forward. Take Huawei as an example. In 2019, Huawei was completely cut off by the United States. At that time, many people said Huawei was finished.

What was the result? In 2023, Huawei pulled out Mate60 and a 7nm process chip.

Then another group of people questioned whether this was definitely a contract made by Samsung and TSMC, and definitely not domestically developed. But what was the result? In the early part of 2024, Huawei Mate70 directly pulled out the higher performance Kirin 9020 chip, which completely dispelled all doubts.

Because the appearance of Kirin 9020 chip means a horrible fact, that is, outside the western chip industry chain, Chinese people not only have the ability to produce chips with a 7nm process, but also can stabilize the output at more than 10 million yuan, and also achieve commercial profits. What’s more, China’s chip industry chain is constantly upgrading.

When this objective fact is presented to everyone, do we need to worry about the comprehensive decoupling of the United States?

Of course, I know some people will say that higher-level AI chips require higher manufacturing processes, and currently we cannot produce them. If this problem is not solved, it may be difficult to narrow the gap between China and the United States in the AI field.

Indeed, the main gap between Chinese and American chips now lies in the field of 7nm and above chips, especially many high-end computing chips with processes of 4nm or even 3nm or above. There is still a gap between China and the United States in the top-level chip field.

But don’t underestimate the creativity of the Chinese people. Although we can’t compare with the Americans in terms of computing power of a single chip, what we compare in the field of artificial intelligence is not the performance of a single chip, but the computing power of the whole system.

The solution Huawei came up with is to create a computing architecture and create a “super node+cluster” system computing power solution since my single chip cannot compete with yours. This way, we can compete with the United States in terms of overall computing power.

To make a vivid analogy, during the Ming Dynasty, although the Qi family army’s individual combat power may not be comparable to that of the Japanese pirates, they drew 11 people to form a mandarin duck formation. Through organizational coordination and tactical cooperation, they could easily defeat enemies of the same number or even multiple times.

Now in the field of AI chips, we basically have a similar solution. I won’t compete with you for individual performance, we will compete for an overall computing solution, so that we can also be at a similar starting line.

So even if Americans are completely decoupled from us in the chip field, we don’t need to worry.

Because the four major associations in China dare to boldly state that American chips are no longer safe.

Chinese authorities dare to directly impose equivalent export sanctions on the United States.

Since they dare to be so tough, it means that after 6 years of dedicated management, we now have the confidence to be independent and autonomous. Otherwise, if you think about it carefully, would we dare to publicly announce that we will no longer use American chips in 2018?

If you think about this, you will know that under the high-pressure policy of the Americans, we are really different now.