U.S. sees an escalation in Bitcoin mining activities by Chinese operators
In the dynamic world of Bitcoin mining, a significant shift is underway as US-based companies seek to reduce their reliance on Chinese suppliers. Riot Blockchain Inc., a major player in the US mining sector, has been increasingly sourcing mining hardware from domestic manufacturers to maintain a certain level of independence from the Chinese supply chain and avoid the risk of sudden export stops.
This move comes amidst the continued dominance of Chinese hardware manufacturers, with companies like Bitmain, Canaan, and MicroBT controlling over 90% of the global ASIC market. However, the US tariffs and the changed trade policies under former President Donald Trump have put Bitcoin mining companies in a logistical exceptional situation.
The Trump family has also ventured into the mining sector, founding the company American Bitcoin alongside Hut 8 to build their own production capacities and a Bitcoin reserve. Meanwhile, the US-based mining hardware producer Marathon Digital Holdings, supported by MARA Holdings, criticizes the imbalance in the ASIC market share between China and the USA.
In an effort to become more independent, the US mining industry could potentially benefit from the structural change in the global supply chain. Companies like Auradine, a US-based mining hardware producer, advocate for restrictions on Chinese supplies. In fact, over 30% of global Bitcoin mining occurs in North America, but more than 90% of mining hardware originates from China, creating a significant disparity between geographical demand and supply.
To circumvent the tariffs, Chinese manufacturers like Bitmain, Canaan, and MicroBT have shifted their production to other countries, including Southeast Asian countries and the USA. For instance, Canaan began setting up production in the USA to supply the market more cost-effectively after the announcement of the new US tariff policy on April 2, 2025.
The US government, under former President Joe Biden, has also taken steps to limit Chinese involvement in the US mining sector. Both MineOne and a Chinese Bitcoin mining company were banned from operating near US nuclear missile bases, with the facilities subsequently being transferred to US companies CleanSpark Inc. and an unspecified US-based Bitcoin mining company, respectively.
Despite these efforts, the dependence of Western mining companies on Chinese technology remains for the time being. However, as the US industry continues to strengthen its domestic capacities, it could potentially challenge the dominance of Chinese manufacturers in the long run. The estimated $12 billion global ASIC market by 2028 could see a significant shift as new players like Auradine and US-based companies like Marathon Digital Holdings make their mark.
