U.S. Commerce chief warns against China semiconductor investment bingeWASHINGTON (Reuters) - Massive government investment in China’s semiconductor industry risks distorting the global market for integrated circuits, leading to damaging overcapacity and stifling innovation, U.S. Commerce Secretary Penny Pritzker has warned.      The comments come at a time of growing trade tension between the Asian giant and the United States over accusations of dumping, industrial overcapacity and a souring business climate for foreign firms doing business in China.  Republican presidential candidate Donald Trump has threatened to levy punitive tariffs of 45 percent on imports of Chinese goods if he is elected. In a speech on Wednesday, Pritzker sharply criticized a $150-billion plan by the Chinese government to expand the share of Chinese-made integrated circuits in the domestic market to 70 percent by 2025, from 9 percent now. “Let me state the obvious: this unprecedented state-driven interference would distort the market and undermine the innovation ecosystem,” Pritzker said at the Center for Strategic Studies think-tank in Washington.  That level of investment would be equivalent to half of worldwide semiconductor sales last year and result in market distortions similar to those plaguing the steel, aluminum and green technology industries, Pritzker added.       “The world has seen the effects of this type of targeted, government-led interference before,” she said. “The result has been overcapacity in the global marketplace that has artificially reduced prices, cost jobs in both the United States and around the world, and caused significant damage to those industries globally,” Pritzker said.  It was “imperative we take steps to prevent a similar situation from developing in the semiconductor industry,” she added.  Such steps include a Commerce Department study of the global semiconductor supply chain now underway, besides engaging with China, and other governments, to persuade them to avoid policies that distort markets or spur technology transfers. “The U.S. government will make clear to China’s leaders at every opportunity that we will not accept a $150-billion industrial policy designed to appropriate this industry,” Pritzker added. Chinese Foreign Ministry spokeswoman Hua Chunying said that China advocates for all countries to provide a fair and transparent investment environment. “We hope everyone can rationally view relevant trade and investment cooperation and work together to create a positive atmosphere,” she told reporters at a regular briefing when asked about Pritzker’s remarks. China’s Ministry of Commerce did respond immediately to a request for comment.  Earlier on Thursday, 12 U.S. senators urged that Zhongweng International’s $2.3-billion purchase of Cleveland, Ohio-based Aleris Corp. be rejected by a national security review panel. “In addition, we are seeing new attempts by China to acquire companies and technology based on their government’s interests – not commercial objectives. And we have witnessed attempts to restrict access to China’s domestic market,” Pritzker said. The technology industry depends on a global supply chain, open and fair trade and innovation, she said, warning against government behavior that disrupts the system and distorts markets. “China’s effort to move up the value chain should be the result of healthy competition and free and fair trade, not state-directed investments aimed at distorting global markets,” Pritzker said. “In addition, no government should require technology transfer, joint-venture, or localization as a quid pro quo for market access.”  politicsNews
commerce chief warns china semiconductor investment bingewashington reuters massive government investment china semiconductor industry risks distorting global market integrated circuits leading damaging overcapacity stirling innovation commerce secretary penny pritzker warned the comments come time growing trade tension asian giant united states accusations dumping industrial overcapacity sourcing business climate foreign firms business china republican presidential candidate donald trump threatened levy punitive tariffs percent imports chinese goods elected in speech wednesday pritzker sharply criticized plan chinese government expand share integrated circuits domestic market percent percent let state obvious unprecedented interference would distort market undermine innovation ecosystem pritzker said center strategic studies washington that level investment would equivalent half worldwide semiconductor sales last year result market distortions similar playing steel aluminum green technology industries pritzker added the world seen effects type targeted interference said the result overcapacity global marketplace artificially reduced prices cost jobs united states around world caused significant damage industries globally pritzker said it imperative take steps prevent similar situation developing semiconductor industry added such steps include commerce department study global semiconductor supply chain underway besides engaging china governments persuade avoid policies distort markets spur technology transfers the government make clear china leaders every opportunity accept industrial policy designed appropriate industry pritzker added chinese foreign ministry spokeswoman hua changing said china advocates countries provide fair transparent investment environment we hope everyone rationally view relevant trade investment cooperation work together create positive atmosphere told reporters regular briefing asked pritzker remarks china ministry commerce respond immediately request comment earlier thursday senators urged zhongweng international purchase cleveland alerts rejected national security review panel in addition seeing new attempts china acquire companies technology based government interests commercial objectives and witnessed attempts restrict access china domestic market pritzker said the technology industry depends global supply chain open fair trade innovation said warning government behavior disrupts system distort markets china effort move value chain result healthy competition free fair trade investments aimed distorting global markets pritzker said in addition government require technology transfer localization uid pro quo market politicsnews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: U.S. Commerce chief warns against China semiconductor investment bingeWASHINGTON (Reuters) - Massive government investment in China’s semiconductor industry risks distorting the global market for integrated circuits, leading to damaging overcapacity and stifling innovation, U.S. Commerce Secretary Penny Pritzker has warned.      The comments come at a time of growing trade tension between the Asian giant and the United States over accusations of dumping, industrial overcapacity and a souring business climate for foreign firms doing business in China.  Republican presidential candidate Donald Trump has threatened to levy punitive tariffs of 45 percent on imports of Chinese goods if he is elected. In a speech on Wednesday, Pritzker sharply criticized a $150-billion plan by the Chinese government to expand the share of Chinese-made integrated circuits in the domestic market to 70 percent by 2025, from 9 percent now. “Let me state the obvious: this unprecedented state-driven interference would distort the market and undermine the innovation ecosystem,” Pritzker said at the Center for Strategic Studies think-tank in Washington.  That level of investment would be equivalent to half of worldwide semiconductor sales last year and result in market distortions similar to those plaguing the steel, aluminum and green technology industries, Pritzker added.       “The world has seen the effects of this type of targeted, government-led interference before,” she said. “The result has been overcapacity in the global marketplace that has artificially reduced prices, cost jobs in both the United States and around the world, and caused significant damage to those industries globally,” Pritzker said.  It was “imperative we take steps to prevent a similar situation from developing in the semiconductor industry,” she added.  Such steps include a Commerce Department study of the global semiconductor supply chain now underway, besides engaging with China, and other governments, to persuade them to avoid policies that distort markets or spur technology transfers. “The U.S. government will make clear to China’s leaders at every opportunity that we will not accept a $150-billion industrial policy designed to appropriate this industry,” Pritzker added. Chinese Foreign Ministry spokeswoman Hua Chunying said that China advocates for all countries to provide a fair and transparent investment environment. “We hope everyone can rationally view relevant trade and investment cooperation and work together to create a positive atmosphere,” she told reporters at a regular briefing when asked about Pritzker’s remarks. China’s Ministry of Commerce did respond immediately to a request for comment.  Earlier on Thursday, 12 U.S. senators urged that Zhongweng International’s $2.3-billion purchase of Cleveland, Ohio-based Aleris Corp. be rejected by a national security review panel. “In addition, we are seeing new attempts by China to acquire companies and technology based on their government’s interests – not commercial objectives. And we have witnessed attempts to restrict access to China’s domestic market,” Pritzker said. The technology industry depends on a global supply chain, open and fair trade and innovation, she said, warning against government behavior that disrupts the system and distorts markets. “China’s effort to move up the value chain should be the result of healthy competition and free and fair trade, not state-directed investments aimed at distorting global markets,” Pritzker said. “In addition, no government should require technology transfer, joint-venture, or localization as a quid pro quo for market access.”  politicsNews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: commerce chief warns china semiconductor investment bingewashington reuters massive government investment china semiconductor industry risks distorting global market integrated circuits leading damaging overcapacity stirling innovation commerce secretary penny pritzker warned the comments come time growing trade tension asian giant united states accusations dumping industrial overcapacity sourcing business climate foreign firms business china republican presidential candidate donald trump threatened levy punitive tariffs percent imports chinese goods elected in speech wednesday pritzker sharply criticized plan chinese government expand share integrated circuits domestic market percent percent let state obvious unprecedented interference would distort market undermine innovation ecosystem pritzker said center strategic studies washington that level investment would equivalent half worldwide semiconductor sales last year result market distortions similar playing steel aluminum green technology industries pritzker added the world seen effects type targeted interference said the result overcapacity global marketplace artificially reduced prices cost jobs united states around world caused significant damage industries globally pritzker said it imperative take steps prevent similar situation developing semiconductor industry added such steps include commerce department study global semiconductor supply chain underway besides engaging china governments persuade avoid policies distort markets spur technology transfers the government make clear china leaders every opportunity accept industrial policy designed appropriate industry pritzker added chinese foreign ministry spokeswoman hua changing said china advocates countries provide fair transparent investment environment we hope everyone rationally view relevant trade investment cooperation work together create positive atmosphere told reporters regular briefing asked pritzker remarks china ministry commerce respond immediately request comment earlier thursday senators urged zhongweng international purchase cleveland alerts rejected national security review panel in addition seeing new attempts china acquire companies technology based government interests commercial objectives and witnessed attempts restrict access china domestic market pritzker said the technology industry depends global supply chain open fair trade innovation said warning government behavior disrupts system distort markets china effort move value chain result healthy competition free fair trade investments aimed distorting global markets pritzker said in addition government require technology transfer localization uid pro quo market politicsnews