Washington will require semiconductors just short of the ban threshold to be reported to the government before they can be shipped to China.
The US is also working to prevent American chipmakers from selling semiconductors to China, circumventing government restrictions. It was reported by Reuters.
The new rules will be announced in October. They will block the sale of microchips for the development of artificial intelligence. Manufacturers will also begin reporting shipments to other countries.
The White House said it was tightening restrictions on semiconductor exports to keep US chips and equipment from being affected by China’s growing military.
Chips for consumer products such as laptops are not included in the new restrictions, according to a US Commerce Department official. However, companies have to tell the ministry when they fulfill orders for high-power consumer chips.
The US will also require semiconductors whose specifications fall slightly below the ban threshold to be reported to the government before they can be shipped to China. The government will decide on a case-by-case basis whether they pose a threat to national security or can be shipped to other markets.
Joe Biden’s administration officials in China have said they plan to roll back trade rules as part of a policy aimed at strengthening ties between the two countries.
Let’s recall that in October 2022, the United States introduced a large-scale package of sanctions that limited China’s access to advanced equipment for the production of microchips. Japan and the Netherlands have taken similar measures.
China to create $40 billion fund for microchip production – media
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Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.