Tech war: China reliance on chemical in chip manufacturing causes ripples as Japan mulls how to respond to updated US controls

China’s reliance on Japan for a special chemical used in making chips is causing ripples as Tokyo considers how to respond to the latest update of US export controls against China’s semiconductor industry, experts say.

Chinese investors have been scrambling to buy companies that are able, or have the potential, to produce photoresist that can be substituted for Japanese products even though there has been no official announcement from Japan about restricting photoresist sales to China.