Foreign media: The truce on China-US tariffs continues, mainly due to the agreement between Nvidia and the US government.
Nvidia agreed to share part of its chip sales revenue in China with the US government in exchange for permission to continue selling high-end chips to China. China allows its rare earth companies to sell rare earths (such as neodymium) to the US, which are crucial for military equipment such as fighter jet gyroscopes. China controls 80% of the global neodymium supply, while the US relies on China in the rare earth market. This truce reduced the tariff from 145% to 55%, and extended it until November 9th.
Although US restrictions on technology exports to China still exist, China can obtain chips through other countries or black markets, and even develop AI platforms that compete with the US. The US is also looking for alternatives to rare earths, but this is difficult to achieve in the short term.
Currently, the stock prices of Nvidia and AMD have risen due to their AI business and the tariff truce, and Chinese tech stocks have also performed strongly.
Original article: www.toutiao.com/article/1840400703350787/
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