UPDATE 4-U.S. Senate passes sweeping bill to address China tech threat

    (Updates with response from China’s international ministry)

    By David Shepardson

    WASHINGTON, June 8 (Reuters) – The U.S. Senate voted 68-32 on Tuesday to approve a sweeping bundle of laws supposed to spice up the nation’s means to compete with Chinese language expertise.

    An indignant China responded to the vote by saying it objected to being solid as an “imaginary” U.S. enemy.

    The need for a tough line in dealings with China is among the few bipartisan sentiments within the deeply divided U.S. Congress, which is narrowly managed by President Joe Biden’s fellow Democrats.

    The measure authorizes about $190 billion for provisions to strengthen U.S. expertise and analysis – and would individually approve spending $54 billion to extend U.S. manufacturing and analysis into semiconductors and telecommunications gear, together with $2 billion devoted to chips utilized by automakers which have seen huge shortages and made important manufacturing cuts.

    China’s parliament expressed “robust indignation and resolute opposition” to the invoice. It stated in an announcement that the U.S. invoice confirmed “paranoid delusion of desirous to be the one winner” and had distorted the unique spirit of innovation and competitors.

    “We firmly object to america seeing China as an imaginary enemy,” Chinese language international ministry spokesman Wang Wenbin informed reporters in Beijing.

    The invoice should move the Home of Representatives to be despatched to the White Home for Biden to signal into regulation. It isn’t clear what laws within the Home will appear to be or when it’d take it up.

    The invoice has quite a lot of different China-related provisions together with prohibiting the social media app TikTok from being downloaded on authorities units, and would block the acquisition of drones manufactured and bought by corporations backed by the Chinese language authorities. It could additionally permit diplomats and Taiwanese navy to show their flag and put on their uniforms whereas in america on official companies.

    It could additionally create broad new necessary sanctions on Chinese language entities engaged in U.S. cyberattacks or theft of U.S. mental property from U.S. corporations, and offers for a overview of export controls on gadgets that could possibly be used to assist human rights abuses.

    Senate Majority Chief Chuck Schumer, a co-sponsor of the measure, warned of the dire penalties of not funding analysis to maintain up with China.

    “If we do nothing, our days because the dominant superpower could also be ending. We don’t imply to let these days finish on our watch. We don’t imply to see America turn into a middling nation on this century,” Schumer stated.

    Biden praised the invoice: “We’re in a contest to win the twenty first century, and the beginning gun has gone off … We can not threat falling behind.”

    U.S. Commerce Secretary Gina Raimondo has stated the funding may end in seven to 10 new U.S. semiconductor crops. Many U.S. corporations praised the invoice. Common Motors Co stated the laws “represents an vital step to deal with the semiconductor scarcity that continues to influence U.S. automotive manufacturing.”

    Some critics have likened the Senate funding effort to China’s high-tech industrial growth push, dubbed “Made in China 2025,” which lengthy irked america.

    The invoice additionally seeks to counter Beijing’s rising international affect via diplomacy, by working with allies and rising U.S. involvement in worldwide organizations after Republican former President Donald Trump’s “America First” agenda.

    Senator Maria Cantwell famous the invoice would authorize NASA spending and its Artemis mission to the Moon.

    “As China has made it clear, they are going to Mars, we’re going again to the Moon to prepared ourselves to go to Mars,” Cantwell stated. (Reporting by David Shepardson; Extra reporting by Yew Lun Tian in Beijing; Enhancing by Peter Cooney and Robert Birsel)

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