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Abstract

The paper is focused to shed light on geo strategic importance of semiconductor that it has become cause of global economic, technological and security competition between US and China. The US has monopoly over semiconductor industry and China is trying to catch up US in semiconductor industry by importing and producing at home. A qualitative research methodology grounded in post-positivism has been employed. Data was gathered from primary & secondary sources and Document analysis was utilized for data analysis. The analysis suggests that maintaining export restrictions to China could pose significant adverse consequences for the US semiconductor industry, jeopardizing its longstanding global leadership in the field. While policy recommendations are given that how implementation of free trade principle according to its true essence can resolve the rivalry b/w both and similarly an organization of WTO’s global mandate can mediate to regulate this competition from spiraling out of control between the US and China.