China's Revenge: No Mercy for America
Jakarta, CNBC Indonesia - China is beginning to prepare measures to limit the shipment of US technology. Beijing is reportedly considering restrictions on the export of advanced technology for solar panel production.
This tightening measure risks disrupting investments by US companies and hindering the race in space-based computing.
If this policy is implemented, the impact could be significant. US companies like Tesla could fail to build new factories or expand domestic solar power production facilities.
China currently controls more than 80% of the world’s solar panel components. The country is also home to 10 major global suppliers of solar cell manufacturing machines, as quoted from Reuters on Thursday (16/4/2026).
This step is seen as a new escalation in the technology war between China and America. Previously, Beijing has also restricted rare earth exports in response to tariffs from Washington.
The competition now extends even to solar-powered space-based computing projects. Tesla CEO Elon Musk is known to be pushing for the construction of orbital data centres to support artificial intelligence (AI) electricity needs.
On the other hand, US tech giants like Google and Amazon are also making major investments in solar power and energy storage systems to support the surge in AI power requirements.
Analysts estimate that China is concerned that Tesla’s efforts to build a solar panel industry in the US will reduce dependence on Chinese suppliers. Tesla is reportedly seeking equipment worth US$2.9 billion from Chinese vendors.
Musk is also targeting the construction of 100 gigawatts of solar manufacturing capacity in the United States before 2028. If successful, this step could create new competitors to China’s dominance.
Trivium China research firm states that Tesla’s success in achieving solar self-sufficiency could be a “nightmare” for Chinese producers.
The restrictions include a ban on shipping high-efficiency panel production machines based on HJT or heterojunction technology to the United States. This technology allows panels to capture more solar energy and increase electricity output.