Japan faces Chinese backlash over chip equipment restrictions
The warning, part of China’s broader strategy to counter Japan’s alignment with US measures to limit China’s semiconductor production, has raised alarms within Japan’s automotive industry.
China has issued a stern warning to Japan, threatening severe economic retaliation if it intensifies restrictions on selling and servicing chipmaking equipment to Chinese companies. The warning came as part of China’s ongoing effort to counter Japan’s alignment with US measures to limit China’s semiconductor production capabilities.
Toyota Motor reportedly informed Japanese officials that China may retaliate by cutting off access to essential minerals required for automotive manufacturing. The concerns were raised during recent meetings between Chinese and Japanese officials, where China’s stance on the issue was made clear.
Japan recently began limiting exports of 23 types of semiconductor manufacturing equipment, joining a US-led initiative to curb China’s ability to produce advanced chips. These restrictions have sparked fears of further economic conflict between the two nations.
Toyota and China’s foreign ministry have yet to comment on the matter, while tensions over trade controls continue escalating in the region.
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