Abstract

 This report analyzes China's response strategy to the Chip Quadrilateral Alliance (hereinafter referred to as CHIP4). The ultimate strategic goal of the U.S. CHIP4 is to form "two markets" between the U.S. and China, thus preventing China from achieving technological progress and industrial development. However, it should be seen that CHIP4 is not completely united. The U.S.'s brutal tactics have disrupted the world chip market and also brought a very negative impact on the chip industry in Japan, Korea, and Taiwan. Japan, South Korea, and Taiwan. Their posture to join CHIP4 is not proactive, and each has its own strategic agenda. We believe that China should respond as follows: (i) in terms of diplomatic discourse, use CHIP4 to convey to the international community China's determination to maintain the world trade order,  while promoting the depoliticization of chip affairs; (ii) in terms of national strategy, maintain an open market and strategic patience with CHIP4. Even if China cannot change the U.S. government's Cold War mentality, we should make every effort to delay the accelerated fragmentation of the world market.