US-China Trade Tensions Escalate Over Semiconductor Ban

Trade talks between the United States and China faltered on July 23, 2025, as the US imposed a sweeping ban on advanced semiconductor exports, citing national security. China responded with restrictions on critical mineral exports, threatening global tech supply chains. The standoff, centered in Washington, has raised fears of price spikes for electronics and delays in AI development. US firms like Nvidia are exploring alternative suppliers, while Chinese companies pivot to domestic chip production.

The dispute is straining bilateral relations, with both nations digging in on strategic priorities. Global markets are bracing for volatility, as industries from automotive to healthcare face potential disruptions. The deadlock underscores the fragility of global trade, with analysts urging diversification to mitigate risks. As tensions mount, the outcome of these negotiations will shape the future of technology and trade.