US Not Seeking Technology Decoupling From China, Raimondo Says

The US government will be watchful of China getting access to critical technology used for military purposes, Commerce Secretary Gina Raimondo said on Friday.

(Bloomberg) — The US government will be watchful of China getting access to critical technology used for military purposes, Commerce Secretary Gina Raimondo said on Friday. 

“US does not seek to decouple from China nor does it seek a technological decoupling,” Raimondo said at an India-US joint conference in New Delhi. It is about “keeping eyes wide open” to Beijing’s technology ambitions and “we need to protect ourselves and our allies” from that, she said. 

Raimondo’s visit to India comes as Washington is doubling down on efforts to limit China’s growing assertiveness amid multiple tensions between the world’s biggest economies. The US applied export controls on chip-making technology last year to address concerns about its strategic interests from its top global rival. It is also encouraging its companies to invest in trusted trading partners such as India in a process known as friendshoring.

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“We want to deepen our technology relationship with India,” Raimondo said, adding that the US sees New Delhi playing a bigger role in green technology and the electronic goods supply chain. 

Raimondo, who is leading a delegation including executives from 10 US companies, signed a memorandum of understanding to cooperate in the semiconductor sector. India’s $3.2 trillion economy, among the fastest-growing in the world, is offering $10 billion in incentives to win manufacturing projects from foreign chip firms. 

“India’s desire to expand advanced manufacturing and its presence in the supply chains is totally aligned with the United States desire and goal to make our supply chain more resilient,” she said. US companies are making very sizable investments in India and  “you will see an increase drum beat of those announcements,” Raimondo added. 

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