Hey, tech warriors, ting here coming at you with the latest from the digital battlefield between the US and China. If you thought the trade war was cooling down, think again. It's just taking a new form. So here's the scoop. On May twelfth, we saw what looks like a temporary ceasefire in the US China trade tensions. Both countries agreed to slash their reciprocal tariffs to ten percent, with China promising to remove those pesky non tariff barriers they slapped
on American companies back in April. Trump's administration is even exempting smartphones, computers, and various electronics from Chinese tariffs retroactively from April fifth. But don't be fooled by this ninety day reduction. According to the Gibson dun analysis, China's removing some serious countermeasures they implemented just last month. Remember when Beijing added eleven US companies to their Unreliable Entities list and banned sixteen American defense and aerospace firms from access
dual use exports. That's all supposedly being walked back now. The most fascinating part. While tariffs might drop temporarily, the tech decoupling is accelerating at warp speed. As I was scrolling through my feeds this morning, I noticed a report stating this split has evolved beyond temporary trade measures into a permanent structural shift that's fracturing global technology ecosystems. Both
superpowers are doubling down on tech sovereignty. The US is pumping fifty two billion dollars into domestic chip production through the Chips Act with Intel and Applied Materials, building foundries on American soil. Meanwhile, China's not sitting idle Byron technology, backed by Shanghai state funds and deepseks r IE AI chips are making serious plays to challenge America's AI dominance. Perhaps most concerning is what's happening with rare earth minerals.
Beijing briefly implemented export controls on seven types of rare earth to the US last month, materials critical for everything from electric vehicles to defense systems. Given that China produces about ninety percent of the world's supply, this was a power move that sent shock waves through Western tech companies.
The smart money is moving towards semiconductor companies like ASML and Sci five ossion supply chain players like byd and Ase Technology and cybersecurity firms like CrowdStrike and Palo Alto Networks. Bottom Line, the handshake we saw this week is just a temporary reprieve. The tech divorce is real. It's accelerating, and its reshaping global supply chains in ways that will outlast any presidential administration. Stay vigilant, stay informed, and I'll
see you next week for more beaging Bytes. Thanks for listening. Make sure you hit the subscribe button and never miss an update. This has been a quiet please production. For more check out Quiet please dot ai