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Lower growth targets, more barriers to foreign chips

China’s leadership appears to be quietly de-emphasizing a target to double the size of the country’s economy between 2020 and 2035, focusing instead on a slightly less ambitious per capita goal that they’ve said requires GDP growth to average 4.17% over the coming decade. We think that even this lower target will prove difficult to achieve.

Meanwhile, hopes that China might start buying more Nvidia chips have been dashed this week, with the Trump administration opting not to relax export controls further and China taking steps to discourage the use of foreign chips in its data centres.

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