America’s trade war with China has been quietly escalating for years, but this week it took a turn for the disastrous. Huawei, once the rising star of China’s tech industry, has been cut off from US suppliers, leaving the company effectively crippled. China is likely to respond somehow, but with a multitude of options on the table, many in the tech industry are now considering nightmare scenarios.
One particularly chaotic option would be a ban on the export of rare earths — raw materials that are crucial for electronics. These elements are produced mostly in China, and used in the US for everything from electric cars to wind turbines, smartphones to missiles.
from The Verge – All Posts http://bit.ly/2Enlzpl