The particular cold war (rival) between China and the United States has been transferred in recent years especially to the technology sector. Huawei was one of the first to suffer the consequences and the most recent episode we are having with TikTok. Now it is the turn of China to respond , they prepare their own blacklist of companies banned in the country, as the United States has done.
Since the US veto of Huawei last year, the Trump administration has been stepping up bans on China-based tech companies. ZTE was also affected and recently ByteDance has been at the crossroads of selling its Western TikTok or ceasing to operate in the American country. But the “firewall” in the United States goes further, seeking to veto virtually any Internet service company based in China. Now they actually target Tencent.
Responses from China to United States
According to the Wall Street Journal, from China until now they have tried to contain the attacks of the United States responding with similar actions and always to a point that avoids collapse. One of the recent responses by China for example was to require licenses to be able to sell intellectual property outside the country. Hence, the TikTok algorithm cannot be sold by technology company ByteDance since it is not allowed by the Asian country.
However, it is not the only response to the US attacks, nor is it the most important. Consequently to the black list of the US government they prepare their own . There were rumors about the creation of this list from a year ago when the whole Huawei thing started. The idea would be to prohibit specific US companies from operating in China or doing business with Chinese companies. The reason? Determine which are the “untrusted entities” that can endanger the country and its citizens.
In recent weeks, according to WSJ, an interagency group led by Vice Premier Hu Chunhua has stepped up the finalization of the list . As the United States has intensified the vetoes and attacks on companies in the eastern country. The list will be “strictly limited to a very small number of illegal foreign entities.” In large part that list will be narrow and small because many Chinese companies depend on US companies for their development. One of the companies that aims to be on that list is Cisco, an American technology company that competes directly with Huawei in the field of telecommunications.
The question will now be to see when this list will be made public . If you arrive before the United States elections or wait to see what happens after the elections and how the vetoes from the United States continue to develop. The Trump administration, as has happened with Huawei or ByteDance, can now go for Tencent or Alibaba, two Chinese giants that have a multitude of minor services. For its part, the European Union also wants to get serious on this matter.