Re:Intel exits memory business, sale to Hynix for $9B
by nabla9 on Tuesday October 20, 2020 @07:46AM
(#24836234)
Virtually all economic talking points you see in the news and columns are based on data that simplifies the issue to the point where it's misleading. You need to evaluate international trade using value added to get a proper picture (TiVA = Trade in Value Added)
Chinese tech exports have been typically low value added assembly jobs. They import components from Taiwan, South Korea, Japan, EU and the US and assemble them together at the PCB level and up. Few years ago, only 4$ per iPhone was left in China when you subtracted the value of imported parts from the exported value.
Chinese are climbing the value chain and sanctions force them to climb them faster.
Chinese tech exports have been typically low value added assembly jobs. They import components from Taiwan, South Korea, Japan, EU and the US and assemble them together at the PCB level and up. Few years ago, only 4$ per iPhone was left in China when you subtracted the value of imported parts from the exported value.
Chinese are climbing the value chain and sanctions force them to climb them faster.