China (industrial policy & retaliation)
Self-sufficiency drive plus rare-earth/gallium leverage as retaliation
Facing US controls, China pours state capital (Big Fund III, ~$47.5B, 2024) into domestic chips — SMIC, Huawei Ascend, CXMT (HBM), and homegrown EUV/DUV efforts — while pressuring firms to avoid Nvidia H20 and buy domestic. As leverage it wields dominance over critical minerals: 2025 export licensing/controls on gallium, germanium, antimony, and rare earths, plus scrutiny of Nvidia under antitrust and 'security' pretexts. China is both a walled-off demand market and a chokepoint over upstream materials the whole supply chain depends on.
Big Fund III
~$47.5B (2024)
Champions
SMIC, Huawei Ascend, CXMT
Leverage
gallium/germanium/rare-earth controls
How it fits the stack
China (industrial policy & retaliation) with what it depends on (above) and what it feeds (below). The figure renders as a crawlable diagram and upgrades to an interactive 3D graph as it scrolls into view.
China (industrial policy & retaliation) in the AI stack. China (industrial policy & retaliation) with its immediate upstream dependencies (top) and downstream dependents (bottom) in the AI value chain. Hover a node in 3D, or read the full relationships below.
Graph data (text) — 3 entities, 2 relationships
- China (industrial policy & retaliation) —invests in→ National IC Fund (Big Fund III)
- China (industrial policy & retaliation) —invests in→ SMIC (Semiconductor Manufacturing International Corp)
Context — capital, rivals, policy · · 6