US ramps up curbs on chip sales to China

Last updated Oct 8, 2022

The US is introducing further measures to restrict sales of computer chip technology to China in a bid to hobble the country’s military advances.

Under new rules, the US said it would bar US firms from selling certain chips used for supercomputing and artificial intelligence to Chinese companies.

The restrictions also target sales from foreign firms that use US equipment.

The US is engaged in an arms race with China over control of the supply of semiconductors.

The sweeping new measures will make it harder for China to obtain advanced chips for cutting-edge technologies.

Alan Estevez, undersecretary at the US Commerce Department announced the rules, saying his intention was to ensure the US was doing everything it could to prevent “sensitive technologies with military applications” from being acquired by China.

“The threat environment is always changing and we are updating our policies today to make sure we’re addressing the challenges,” he said.

The US has previously barred sales of technology to specific Chinese companies, such as Huawei, on national security grounds. But these measures go much further, with many of the measures aimed at preventing foreign firms from selling advanced semiconductors to China, or providing China with the tools to make advanced chips.

Jim Lewis, a technology and cybersecurity expert at the Center for Strategic and International Studies, in Washington DC said the measures would “set the Chinese back years”.

Agencies