In contemporary geopolitics, existing power, i.e., the USA, and the rising power, i.e., China, are colliding in the quest for power and dominance. One of the most important elements of this competition is technology. The pursuit for technological supremacy has put both the powerful nations into a Technological War, which has been intensified even more due to semiconductors and rare earth minerals. This quest has underpinnings of Sun Tzu’s strategic thought codified in the Art of War.
The US-China Tech War is a part of the US-China Trade War that started in January 2018 under the leadership of Donald Trump. Before the first presidential term of Trump, under Obama’s Indo-Pacific policy, the USA focused on containing China territorially. Under Trump, the tech war highlights three main objectives: Containment of rival power through prevention of export and other types of critical defence and dual technology transfer, reduction of US vulnerabilities to cyber threats attributed to Chinese technologies, and limiting China’s trade. The rise of China is perceived as a threat to the USA, pushing it into a Thucydides trap. Feeling challenged, the US began using sanctions to restrict Chinese companies and China itself. In 2017, the Trump Administration’s National Security Strategy proposed trade sanctions, and in 2019, Congress passed the John S. McCain National Defense Authorization Act, directing the Defence Ministry to create a full government strategy on China. These sanctions placed China under multilateral and bilateral limits, aiming to pressure it to revise its high-tech and technology transfer policies. On July 6, 2018, the US imposed 25% duties on $34 billion of Chinese imports. In August 2022, the Biden Administration passed the CHIPS Act to boost local chip production and reduce import reliance.
Another important aspect of this competition is the vitality of semiconductors. Semiconductors are vital in daily life and form a $500 billion industry expected to double by 2030. Control over their supply chains means control over global power. The US and China are in an arms race for this dominance. Chris Miller, author of Chip Wars, notes that this race now extends beyond weapons like ships and missiles to the quality of Artificial Intelligence used in military systems. On Oct 17, 2025, the USA’s Micron Technology announced its departure from the server-chips business in China in response to the imposed ban on supplying Chinese critical infrastructure. On the other hand, China has invested in building the semiconductor industry by reducing its reliance on foreign technology to increase self-sufficiency and self-reliance in technological industries and “build an all-Chinese supply chain”. Moreover, Taiwan Semiconductor Manufacturing Company (TSMC) adds a further dimension. In December 2024, Taiwan exported $8.49 billion in products to the United States, compared with $8.28bn to mainland China. The trend continued through March 2024, when US exports increased by 65 per cent to $9.11bn, while mainland China received $7.99bn. Keeping in mind China’s claims over Taiwan, it makes this self proclaimed island a mouth watering opportunity for Chinese in its quest to attain supremacy in semiconductor industry therefore the possibility of Chinese invasion will give birth to a risky business where China taking control of TSMC giving it golden access to the valuable chips, and hence a winning situation in the technology war developing between the country and the United States. In his new book World on the Brink, Department of Homeland Security adviser Dmitri Alperovitch argues that China is readying to invade Taiwan by the end of the decade, and the U.S. and its allies face dire consequences if the takeover is not stopped, potentially wiping out as much as $10 trillion worth of economic value.
Moreover, rare earth minerals(also known as rare earth elements-REE) add another dimension to the technological competition. According to Al-Jazeera, as of late 2025, China controls 70% of mining and over 90% of processing. REE are 17 essential critical metals used in the manufacturing of defence technologies. China controls the export of such minerals, significantly adding to the geopolitical vulnerabilities for the USA because of its export dependence on China. In response to this vulnerability, the US government in February 2026 announced a $12bn worth initiative, Project Vault, aimed at developing a critical minerals reserve to diversify away from Chinese supply.
This tech competition reflects the strategic thought of Sun Tzu in Chinese foreign policy. Major principles codified in Sun Tzu’s Art of War include Indirectness, deception, patience, and avoiding direct clash. Indirectness advocates for winning without direct conflict, rather than with maneuvering. Secondly, Sun Tzu says, “all warfare is based on deception,” meaning that manipulating the enemy’s perception is crucial for victory in warfare. Thirdly, patience is a crucial strategic weapon for warfare, which discourages acting on impulses because, according to Sun Tzu, true mastery in strategic affairs involves conserving energy, avoiding errors, and letting the enemy exhaust itself on its own. Lastly, through deception, Sun Tzu asserts on attaining victory with minimal losses.
Historically, China went from a hidden strength to an assertive global player, inferring China’s foreign policy approach to hide brightness and nourish obscurity approach meaning staying low profile, avoiding conflict, and focusing on internal development. Xi Jinping’s “Chinese Dream” aims to avoid the middle-income trap, build a prosperous society, and achieve national rejuvenation. Supporting this dream are the “Belt and Road Initiative” and “Made in China 2025,” which target 40% domestic sourcing by 2020 and 70% by 2025 to reduce foreign dependence and make China a global tech leader. This gradual rise is a reflection of the application of Sun Tzu’s strategic thought of patience.
Moreover, technological dominance has become vital for maintaining hegemony, economic strenth and military power. This technological war is separating the U.S. and Chinese tech sectors, as seen in the U.S.-led boycott of Chinese 5G and China’s counter by heavy investment in R&D and the rise of ICT export from 42.06% to 43.37%. What began as a deviation has now become the new normal, with digital competition shaping global politics and economics. This reflects Sun Tzu’s thought of indirectness and strategic maneuvering.
China-U.S. relations have become increasingly tense since 2017 due to technological contests. The Trump administration has launched a tech war against China, profoundly impacting the bilateral relationships and world politics. Through direct confrontation, the US government accepts direct retaliation by the Chinese government. Instead of direct confrontation, China focused on a gradual rise, building a home economy, and self-reliance. The foreign policy codified in Sun Tzu’s thought profoundly contributed to the rise of China, adding threat perception for the USA.
