China-US tensions risk unravelling tech value chains

Significance

The technology industry today is the child of unparalleled globalisation and transnational integration. However, Apple’s downgrade is one of many signs that these processes are beginning to reverse.

Impacts

• Both China and the United States will seek to incorporate domestic technology into emerging global standards and maintain exclusivity.
• Technological elements may become an increasing part of both sides’ development aid.
• Future US export controls may target technology used in China’s Muslim detention camps or ‘social credit system’.