CNBC reported that Trump Truth Social platform issued a document asking Chen Liwu to resign, bluntly stated that his close ties with Chinese companies in the past and had a high conflict with the interests of the United States, and he must immediately resign from Intel's executive officer. After Chen Liwu went to Baigong to meet Trump on the 11th, Trump's attitude changed 180 degrees, and the story of praise for success and rise was very amazing.
Trump's request for Chen Liwu to be the Executive Director of Intel stemmed from the previous doubts that Republican Party member Tom Cotton had had close contact with Chinese companies. Tom Cotton mentioned a secret case involving EDA manufacturer Yihua Computer, which Chen Liwu had previously served as executive chief, and asked whether Intel had asked Chen Liwu to abandon his holdings in the Chinese Communist Party, the People's Liberation Army and any other relevant chip manufacturers that are actually connected with China. Intel responded later that the company, board members and Chen Liwu himself are committed to promoting the interests of the U.S. state and economic security.
However, several days later, Trump's attitude changed 180 degrees. Trump's latest post on Truth Social, after meeting with Chen Liwu, Commerce Secretary Howard Lutnick, and Finance Minister Scott Bessent, Trump described the meeting as very interesting and praised Chen Liwu University, calling his success and rise a shocking story. Chen Liwu spent time discussing with his members and made suggestions within a week.
Intel's spokesperson also confirmed the meeting situation. Chen Liwu was fortunate to meet with Trump for a frank and constructive discussion, about Intel's commitment to strengthening the leadership position of American technology and manufacturing. Intel's stock price rose 2% later.
Chen Liwu, now 65, became an Intel director in 2022 and replaced Pat Gelsinger as executive director in March this year. He took over Intel International, and the chip manufacturing giant was facing a difficult situation, including failing to make significant progress in the market for artificial intelligence (AI), led by NVIDIA, while also consuming a lot of cash to build its own chip foundry business.
Chen Liwu also admitted that he did not relax in the first few months of taking office, and the company laid off a large number of staff and reduced spending from the crystalline foundry department. He told employees that Intel canceled German and Poland construction factories and eased development in Ohio. Chen Liwu told analysts at the July Financial Report meeting that turning the situation requires time and patience, and there are many places that need improvement to push the company forward. Chen Liwu was born in Malaysia and grew up in Singapore. Later, he moved to the United States and obtained a bachelor's degree from the MIT.
The Trump administration has always adopted a strong and hard-working forecast for the business world, especially in the semiconductor market, as the United States and China compete to tyrannize the artificial intelligence domain. In addition to Intel, NVIDIA also agreed to sell 15% of H20 chips to the US federal government to exchange export permits. NVIDIA executive chief Huang Renjun also visited Baigong a few days ago. Trump said he initially asked NVIDIA to pay 20% of the purchase, but after consulting with Huang Renjun, it dropped to 15%.
As of the closing on the 11th, Intel's stock price rose 3% this year, while the Standard Prit 500 Index (S&P 500) rose 8.4% during the same period. This dramatic change in Trump's attitude once again highlights the impact of government policies on enterprises and the market.