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The United States has launched a new crackdown on China’s semiconductor industry, imposing export restrictions on 140 companies, including chip equipment maker Naura Technology Group. This move is part of the Biden administration’s efforts to hinder China’s chipmaking ambitions, particularly in areas related to military applications and national security. The restrictions also target Chinese chip toolmakers like Piotech, ACM Research, and SiCarrier Technology, as well as shipments of advanced memory chips and chipmaking tools to China.
The package includes curbs on high-bandwidth memory chips, chipmaking tools, and software tools, affecting companies like Lam Research, KLA, and Applied Materials. Chinese companies involved in advanced chip production, including those working with Huawei Technologies, will face new restrictions. This action aims to prevent China from advancing its semiconductor manufacturing system to support military modernization.
China has denounced the U.S. restrictions, describing them as economic coercion and non-market practices that disrupt global supply chains. Despite China’s efforts to become self-sufficient in semiconductors, it remains behind leaders in the industry. The U.S. is planning further restrictions on Semiconductor Manufacturing International Co. and has added three companies investing in chips to its entity list.
The new rules also expand U.S. powers to regulate exports of chipmaking equipment by U.S., Japanese, and Dutch manufacturers to certain chip plants in China. These restrictions mark the third major package of chip-related export curbs on China under the Biden administration, following previous efforts in 2022 to limit high-end chip sales and manufacture.
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