During her visit to Beijing on 28 August, US Commerce Secretary Gina Raimondo discussed with Chinese Commerce Minister Wang Wentao concerns about restrictions on American tech businesses, including Intel and Micron Technology.

The two discussed China's recent control over gallium and germanium exports, two metals used in semiconductors, and China's effective ban on purchases of Micron memory chips. The US has repeatedly raised issues about rules on technology exports and expressed the need for a level playing field for American companies operating in China. China has openly condemned US measures to limit China's access to advanced semiconductors. The White House wants to restrict investment in sensitive technologies in China, putting more than 200 Chinese companies on an export control list.

Why does it matter?
The U.S. and China have been in a trade war for several years. Banning Micron and Intel chips on critical infrastructure resembles Chinese retaliation over US policy and fuels tension. Washington is also concerned about national security, given the importance of technology in modern military and espionage capabilities. The two largest economies need each other, and they are trying to find a way to work together on trade and technology. Creating a formal working group to exchange information on export control enforcement is an attempt to reduce friction between the two countries.