On Wednesday, Chinese experts criticised the latest US decoupling effort in the chip industry, in which Washington asked recipients of subsidies under the so-called CHIPS Act to halt investing in chip manufacturing capacity in "foreign countries of concern" for 10 years. This request was widely seen as an attack on China.

According to industry observers, by relentlessly pursuing China, the US has gone a long way down the path of harming others without benefiting itself and seriously jeopardizing the world chip supply chain.

On Tuesday, the US Commerce Department published information about how to submit applications for subsidies from semiconductor manufacturers. There were other requirements for the $39 billion initiative, including limitations on Chinese investment.

Production of semiconductors has undergone a thorough globalisation process. Analysts warned that the US is foolishly violating fundamental economic rules by seeking to artificially restructure it, which would have disastrous results.

According to Xiang Ligang, director-general of the Beijing-based Information Consumption Alliance, American businesses and society have been forced to deal with "negative repercussions" including widespread layoffs and severe drops in business earnings.

For instance, Intel Inc. reported sales of just $14 billion in the fourth quarter of 2022, a 32% year-over-year decline, and $63.1 billion in the whole year of last year, a 20% year-over-year decline.

Moreover, Qualcomm announced lower-than-anticipated revenue. The corporation recorded net income of $2.24 billion for the three months ending December 25, 2022, a 34% decrease from the prior year.