Analysis of the Dependence of China’s Integrated Circuit Related Industries on United States Technologies under the Context of United States Chip Export Controls

ShanMin Zhou

doi:10.63313/EBM.9150

Authors

ShanMin Zhou School of Economics and Trade, FoShan University, Foshan, 538000, China Author

DOI:

https://doi.org/10.63313/EBM.9150

Keywords:

Chip Export Controls, Transmission Mechanisms, Input-output Analysis

Abstract

This study examines how United States chip export controls propagate through the semiconductor sector and reshape China’s integrated circuit value chain. Using the 2020 national input–output table, it constructs a complete allocation coefficient matrix to quantify supply-driven transmission effects on downstream industries. The analysis shows that regulatory revisions to the Export Administration Regulations, expansion of the Entity List, and implementation of the Foreign Direct Product Rule together create a multilayer restriction system covering equipment, software, and materials, which generates structural dependence in critical technological nodes. Empirical results indicate that communication equipment, computer manufacturing, and automotive electronics exhibit the highest exposure to chip supply constraints, while modern service sectors also demonstrate strong sensitivity due to their reliance on digital infrastructure. Chips therefore function not only as essential manufacturing inputs but also as foundational components of the digital economy. The findings highlight the systemic vulnerability of high-technology manufacturing and advanced services to external supply shocks and suggest that strengthening domestic innovation capacity and substitution capability is central to improving industrial resilience.

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