The immediate backdrop is a deepening U.S.–China technology competition driven by successive export controls and market access restrictions that accelerated after 2018, with U.S. policy makers citing national-security risks and supply-chain vulnerabilities. Structurally, two landmark actions shaped those conditions: the U.S.
Department of Commerce placed Huawei on the Entity List on May 15, 2019, restricting U.S. suppliers’ sales after officials said Huawei posed security concerns; and the CHIPS and Science Act, signed into law on June 9, 2022, redirected subsidies and export policy to bolster domestic chipmaking and limit certain advanced exports.