What the US-China chip war means for a critical American ally
South Korea, which relies heavily on its semiconductor sector for jobs and revenue, is wedged between China and the United States, South Korea’s long-standing ally, in their trade war over technology.Samsung and SK Hynix, the semiconductor titans of South Korea, have spent over $52 billion to build up their operations in China. Business with China has long made up a sizable portion of their sales.But the ties between South Korea’s chip companies and China are under strain from geopolitics. South Korea, which relies heavily on its semiconductor sector for jobs and revenue, is wedged between China and the United States, South Korea’s long-standing ally, in their trade war over technologyTo curb China’s access to advanced chips that could power its military, Washington has escalated steps to control the sale of such technologies. The Biden administration imposed restrictions last October, raising alarms in Seoul and setting off furious lobbying in Washington to try to minimize damage...