The swords have been drawn again in the economic crisis.

China has announced that it will take all necessary measures to protect its rights and interests in response to the U.S. administration's initiation of an investigation into the industrial policies and practices in the domestic chip industry. In a statement from the Chinese Ministry of Commerce, it was noted that the investigation would disrupt the functioning of global industries and supply chains, harming the interests of U.S. businesses and consumers as well.

SUPPORT FOR DOMESTIC PRODUCTION BECAME A SUBJECT OF DEBATE

In a statement opposing the claim that the U.S. is trying to dominate the global market by strengthening China's domestic industry with state support, it was pointed out that the Washington administration has also provided significant subsidies to its own domestic chip industry through regulations such as the Chips and Science Act. The statement reminded that U.S. chip manufacturers hold approximately 50% of the global market, and that China's chip exports to the U.S. are much lower than the U.S. exports to China. The statement called for the U.S. to respect facts and multilateral trade rules and to immediately cease its wrongful practices, noting that China will closely monitor the investigation and will resolutely take all necessary measures to protect its rights and interests.

U.S. HAD ANNOUNCED THAT AN INVESTIGATION WOULD BE INITIATED

In a statement from the U.S. Trade Representative (USTR), it was announced that an investigation had been initiated regarding China's actions, policies, and practices aimed at dominating the semiconductor industry. The statement indicated that China is trying to dominate local and global markets in the semiconductor industry and alleged that the country is using comprehensive anti-competitive and market-distorting methods to achieve localization and self-sufficiency. It was noted that China's actions, policies, and practices have harmful effects on the U.S. and other economies, weakening the U.S.'s competitiveness, supply chains, and economic security.

"THE U.S. ECONOMY IS IN SERIOUS COMPETITION WITH THE CHINESE ECONOMY"

Prof. Dr. İbrahim Güran Yumuşak, Dean of the Faculty of Business Administration at Istanbul Sabahattin Zaim University, was a guest of presenter Abdurrahman Yazıcı in the Haberler.com Studio. He stated that the crisis in the global automotive sector is a product of the economic competition between the U.S. and Europe with China. He emphasized that this competition would intensify with Trump's assumption of office.

Prof. Dr. İbrahim Güran Yumuşak continued his speech by emphasizing that China heavily supports domestic production through state means: "The U.S. economy is in serious competition with the Chinese economy. We see that China is entering global markets quickly and effectively in important sectors. China is strengthening its production capacity by enhancing and diversifying its supply chain."