Biden hit China with broader curbs on US chips and tool exports

The Biden administration is planning to broaden the curbs on US shipments to China of semiconductors used for artificial intelligence and chipmaking tools, as several people familiar with the matter said. 

 

The commerce department also intends to publish the new regulations based on the restrictions communicated in the letters earlier to the three US companies, including KLA Corp, Lam Research Corp, and Applied Material Inc. The people said they speaking on the condition of anonymity. The plans for the new rules have not been previously reported as well. 

 

The letters forbade them from exporting the chipmaking equipment to the Chinese factories that produce the advanced semiconductors. It will be with the sub-14 nanometer processes unless the sellers obtain the commerce department licenses. The rules will also codify the restrictions in commerce department letters sent to Nvidia Corp and Advanced Micro Devices. Last month, they instructed them to halt the shipments of several artificial; intelligence computing chips to China unless they obtained the licenses. 

 

Some sources also said that the regulations will likely include additional actions against China, the restrictions will also be changed, and the rules will be published later than expected.  

 

The letter’s introduction rules will also broaden the reach, and it could subject the other US companies that produce similar technology to the restrictions. The regulations can also apply to the companies that try to challenge Nvidia and AMD’s dominance in artificial intelligence chips. 

 

FAQ

• Who is planning to broaden the curbs on US shipment to china of semiconductors?

Ans. Biden administration 

• List three US Companies.

Ans. KLA Corp, Lam Research Corp, and Applied Material Inc.

• What type of semiconductor do they prefer?

Ans. 14 nanometer