China’s electronics industry is being crushed, not by a market crash, but by a full-blown sanction war. In just four weeks, U.S. restrictions have paralyzed production. What was once the world’s tech powerhouse is now a wasteland of shuttered factories and deserted towns.
Billions lost, thousands displaced, and entire cities abandoned. And it all began with a single, bold move on April 2nd, 2025.
How did one speech from President Trump bring China’s electronics empire to its knees? How did the sanctions cause entire factory cities to shut down almost overnight? And what does this mean for the future of global tech and electronics?
To understand how China’s electronics empire began crumbling this month, we need to go back to April 2nd — the day it all started.