For subscribers
The tech wars are about to enter a fiery new phase
America, China and the battle for supremacy
Sign up now: Get insights on Asia's fast-moving developments
The IMF reckons that the elimination of high-tech trade across rival blocs could cost as much as 1.2 per cent of global GDP each year — about US$1 trillion.
PHOTO: REUTERS
The Economist
Follow topic:
Flows of information and energy underpin all economic activity, and advanced technologies support both. Hence the sky-high stakes in the tech wars between America and China. Started during Donald Trump’s first term in office, between 2017 and 2021, they have continued under Mr Joe Biden. China’s leader, Mr Xi Jinping, bridles at America’s export controls on “chokehold technologies”.
The struggle is reshaping relationships and supply chains the world over. And its costs are mounting. Estimates vary, but the International Monetary Fund reckons that the elimination of high-tech trade across rival blocs could cost as much as 1.2 per cent of global gross domestic product each year – about US$1 trillion (S$1.36 trillion).
