U.S. rolls out new chip-related export controls as China makes industry advances

U.S. rolls out new chip-related export controls as China makes industry advances


Digitally Generated Images

Wong Yu Liang | Moment | Getty Images

The Biden administration is rolling out new export controls on critical technologies, including quantum computing and semiconductor goods, as China makes advances in the global chips industry.

Released by the U.S. Department of Commerce on Friday, the rules cover quantum computers and components; advanced chipmaking tools; some components and software related to metals and metal alloy; as well as high-bandwidth chips, a critical component for AI applications.

The department cited “national security and foreign policy reasons” for the move, and said it was the product of extensive discussions with international partners.

These restrictions cover worldwide exports, but adds exemptions for countries that add similar controls, such as Japan and the Netherlands have done in the past. The department’s Bureau of Industry and Security (BIS) expects more countries will move to impose similar measures.

“Today’s action ensures our national export controls keep step with rapidly evolving technologies and are more effective when we work in concert with international partners,” Alan Estevez, under secretary of the bureau, said in a statement.

“Aligning our controls on quantum and other advanced technologies makes it significantly more difficult for our adversaries to develop and deploy these technologies in ways that threaten our collective security,” he added. 

Officials will hold a 60-day public comment period before issuing a final ruling.

Along with semiconductors, both China and the U.S. seek to be leaders in quantum computing, which they see as a potentially transformative technology. 

Though China is not explicitly named in the documents, the controls are in line with a series of moves the Biden administration has taken to limit Beijing’s developments in areas such as AI and computing.

BIS also said it is also continuing to strengthen relationships with its allies to boost the effectiveness of export controls aimed at degrading Russia’s military capabilities, as well as its “enablers” such as Belarus and Iran.

U.S. export control efforts hit road bumps

Amid increased restrictions and tech sanctions from the Washington, Beijing has ramped up its sufficiency push, setting up billions in investments in critical technologies to strengthen its chip-making industry.

A recent analysis of China’s semiconductor technology, by Tokyo-based semiconductor research company TechanaLye, found that Chinese-made processor chips are approaching a level just three years behind the industry leader, Taiwan Semiconductor Manufacturing Co Ltd, according to Nikkei Asia.

As the U.S. continues to step up controls, the global industry has shown a degree of reluctance.

China is the largest semiconductor market in the world, and its firms remain key clients of many of the world’s leading semiconductor companies, including those in the U.S.  

On Wednesday, the chief executive of Dutch chip equipment giant ASML, which is restricted from providing its industry-leading advanced semiconductor equipment to China, reportedly said that the U.S.-led restrictions have become more “economically motivated” over time, adding he expects more push-back.

The Dutch government has said it will take ASML’s economic interests into account when deciding whether to tighten semiconductor export rules further. 

Meanwhile, South Korean Trade Minister Cheong Inkyo reportedly said this week that the U.S. should offer more incentives if it wants Seoul to comply with additional export curbs on China’s semiconductors.

Beijing has long maintained that the U.S. and its allies’ chip restrictions are anti-competitive and hurt the global semiconductor supply chain.



Source

New York Gov. Hochul drops robotaxi service proposal for outside NYC in blow to Waymo
Technology

New York Gov. Hochul drops robotaxi service proposal for outside NYC in blow to Waymo

Waymo autonomous taxis turns onto Post Street in San Francisco, California, US, on Wednesday, Dec. 17, 2025. David Paul Morris | Bloomberg | Getty Images New York Gov. Kathy Hochul has pulled a proposal that would have allowed commercial robotaxi services, like Alphabet‘s Waymo, to start in some parts of the state, according to her […]

Read More
Etsy stock pops on Depop deal despite disappointing revenue, merchandise sales
Technology

Etsy stock pops on Depop deal despite disappointing revenue, merchandise sales

The Etsy company logo is seen at its headquarters in New York on Dec. 13, 2023. Michael M. Santiago | Getty Images Etsy shares popped on Thursday after the company said it plans to offload its fashion resale app Depop to eBay for about $1.2 billion in cash. The online marketplace also reported mixed earnings […]

Read More
Figma shares climb on earnings beat, but analysts note that AI risk remains
Technology

Figma shares climb on earnings beat, but analysts note that AI risk remains

Shares of Figma traded higher on Thursday, but were well short of the initial surge following earnings. The stock was up by as much as 15% after the bell on Wednesday, when the design software maker reported fourth-quarter results that beat analysts’ expectations and offered rosy guidance. Figma’s revenue grew 40% year over year to […]

Read More