U.S. Commerce Secretary: Holding Back China's Chip Progress is a 'Fool's Errand'

U.S. Commerce Secretary Gina Raimondo has stated that the U.S. should prioritize investments in domestic semiconductor manufacturing and innovation, rather than focusing solely on bans and sanctions against China. "Trying to hold China back is a fool's errand," she said in a recent interview. Focus on Innovation, Not Restrictions Raimondo emphasized that the Biden administration's CHIPS and Science Act, which has seen unprecedented spending on U.S. chip infrastructure, "matters more than export controls." She believes that the key to competing with China is to out-innovate them, stating, "The only way to beat China is to stay ahead of them. We have to run faster, out innovate them. That’s the way to win." Despite U.S. export controls, Chinese companies have reportedly found ways to procure banned chips through unofficial channels. Furthermore, Chinese innovation continues, with businesses adapting and pursuing their goals despite the restrictions. Unc…