Real power in the modern world resides in the existence and operation of a set of technologies that make up computer microchips. The US managed to maintain its preeminence as a superpower because it essentially maintained the world lead in the production and innovation of microchips and semiconductors for computers and other related technologies.
Almost everything today that drives modern electronic – and not only – economic activities is based on microchips and semiconductors. Cars, telephones, televisions, computers, tablets and cell phones, home appliances, stock markets and even electrical networks depend on the existence and availability of these technological units. Their lack leads to deadlocks, economic crises and geopolitical upheavals and impasses. And these are no longer primarily produced exclusively in the USA. The main global exporter is Taiwan, while material for their construction (rare earth) is abundant mainly in China and in sub-Saharan African countries. As of course, but in a smaller quantity, today in the USA and soon in Canada and Australia. It is typical that China has bought huge areas with ore in sub-Saharan countries (Sahel) and is trying to exercise strangling control around Taiwan. Everyone understands what this means for the global economic balance.
By investing billions of dollars in infrastructure for the production of mainly microchips but also semiconductors, China is trying to reach or even surpass the USA. Thus making herself indispensable for their use on a global scale. The US has for many years allowed the production of chips to pass not only to Taiwan but also to South Korea as well as parts of Europe.
In his book “Chip Wars” (2023), the historian on the subject Chris Miller, describes how China is catching up with the US and how their bitter dispute puts the global economic balance in very serious danger. Just as Washington managed to trash Soviet precision intercontinental missile technology in the past, China is now trying to do the same with chips and semiconductors. Only this time, this conflict will concern the economy, everyday life and the achievements that pave the way in technology. And not just the weapons systems. Reasonably the damage will be more serious and catalytic.
