Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

US Blacklists China's Chipmaker Firm, Crackdowns On AI Chip Sector

US Blacklists China's Chipmaker Firm, Crackdowns On AI Chip Sector

YMTC, long in the crosshairs of the U.S. government, will be added to the list over fears it could divert U.S. technology to previously blacklisted Chinese tech giants Huawei and Hikvision.
The Biden administration on Thursday added Chinese memory chipmaker YMTC and 21 "major" Chinese players in the artificial intelligence chip industry to a trade blacklist, broadening its crackdown on China's chip industry.

YMTC, long in the crosshairs of the U.S. government, was added to the list over fears it could divert U.S. technology to previously blacklisted Chinese tech giants Huawei and Hikvision. The move, laid out in the Federal Register, will bar YMTC's suppliers from shipping U.S. goods to it without a difficult-to-obtain license.

The 21 Chinese AI chip entities being added to the trade blacklist, which include Cambricon Technologies Corp and CETC, face an even tougher penalty, with the U.S. government effectively blocking their access to technology made anywhere in the world with U.S. equipment.

As the Chinese government seeks to remove barriers between its military and civilian sectors, "U.S. national security interests require that we act decisively to deny access to advanced technologies," Assistant Secretary of Commerce for Export Administration Thea Kendler said in a statement.

YMTC, Cambricon, CETC and the Chinese Embassy in Washington did not immediately respond to requests for comment.

The move builds on sweeping export controls imposed on Beijing in October to slow Beijing's technological and military advances, including measures to curb China's access to U.S. chipmaking tools and cut it off from certain chips made anywhere in the world with U.S. equipment.

It also comes as Congress prepares to finalize legislation to bar the U.S. government from buying products that contain semiconductors made by YMTC, Chinese memory chipmaker CXMT or China's top chip manufacturer SMIC.

The Commerce Department on Thursday also targetted nine Chinese entities for allegedly seeking to support China's military modernization, including Shanghai Micro Electronics Equipment Group Co Ltd (SMEE), China's only lithography company. A total of 35 Chinese entities were added to the U.S. trade blacklist, known as the entity list, as well as YMTC's Japan-based subsidiary.

Thursday's announcements weren't all bad news for Beijing. The Biden administration removed Wuxi Biologics, a company that makes ingredients for AstraZeneca's COVID-19 vaccine, and 25 other Chinese entities from the so-called unverified list thanks to successful site visits.

Reuters reported on Wednesday that such a move was in the works and reported earlier this year that U.S officials were able to conduct a site visit at Wuxi Biologics.

Wuxi did not immediately respond to a request for comment.

Companies are added to the unverified list if the United States cannot complete on-site visits to determine if they can be trusted to receive sensitive U.S. technology exports, inspections which in China require approval from the commerce ministry.

Being added to the unverified list forces U.S. suppliers to perform greater due diligence before shipping to the targeted companies.

Commerce Department officials have attributed greater cooperation from Beijing in site checks to a new rule announced in October. Under that rule, if a government prevents U.S. officials from conducting site checks at companies on the unverified list, Washington may add them to the entity list after sixty days.

Under that new policy, the Commerce Department on Thursday removed nine Russian entities from the unverified list and added them to the entity list because the U.S. has been unable to conduct site visits.

Top Senate Democrat Chuck Schumer heralded the imposition of new penalties on YMTC.

"YMTC poses an immediate threat to our national security, so the Biden Administration needed to act swiftly to prevent YMTC from gaining even an inch of a military or economic advantage," he said in a statement.
AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Putin Celebrates ‘Unprecedentedly High’ Ties with China as Gazprom Seals Power of Siberia-2 Deal
China Unveils New Weapons in Grand Military Parade as Xi Hosts Putin and Kim
Rapper Cardi B Cleared of Liability in Los Angeles Civil Assault Trial
Google Avoids Break-Up in U.S. Antitrust Case as Stocks Rise
Couple celebrates 80th wedding anniversary at assisted living facility in Lancaster
Information Warfare in the Age of AI: How Language Models Become Targets and Tools
The White House on LinkedIn Has Changed Their Profile Picture to Donald Trump
"Insulted the Prophet Muhammad": Woman Burned Alive by Angry Mob in Niger State, Nigeria
Trump Responds to Death Rumors – Announces 'Missile City'
Druzhba Pipeline Incident Sparks Geopolitical Tensions
Cost of Opposition Leader Péter Magyar's Economic Plan Revealed
Germany in Turmoil: Ukrainian Teenage Girl Pushed to Death by Illegal Iraqi Migrant
United Krack down on human rights: Graham Linehan Arrested at Heathrow Over Three X Posts, Hospitalised, Released on Bail with Posting Ban
Asian and Middle Eastern Investors Avoid US Markets
Ray Dalio Warns of US Shift to Autocracy
Eurozone Inflation Rises to 2.1% in August
Russia and China Sign New Gas Pipeline Deal
Von der Leyen's Plane Hit by Suspected Russian GPS Interference in an Incident Believed to Be Caused by Russia or by Pro-Peace or by Anti-Corruption European Activists
China's Robotics Industry Fuels Export Surge
Suntory Chairman Resigns After Police Probe
Gold Price Hits New All-Time Record
UK Fintechs Explore Buying US Banks
Greece Suspends 5% of Schools as Birth Rate Drops
Apollo to Launch $5 Billion Sports Investment Vehicle
Bolsonaro Trial Nears Close Amid US-Brazil Tension
European Banks Push for Lower Cross-Border Barriers
Poland's Offshore Wind Sector Attracts Investors
Budapest Central European Fashion Week Kicks Off
U.S. Celebrates Labor Day
Hungarian National Team Captain Scores Epic Goal
EU is getting aggressive: Four AfD Candidates Die Unexpectedly Ahead of North Rhine-Westphalia Local Elections
Japanese Customer Sways from VW to BYD after “Unbelievable” Test Drive amid Dealership Expansion
Nestlé Removes CEO Laurent Freixe Following Undisclosed Relationship with Subordinate
Pickles are the latest craze among Generation Z in the United States.
Giuliani Seriously Injured in Accident – Trump to Award Him the Presidential Medal of Freedom
Deadline Day Delivers Record £125m Isak Move and Donnarumma to City
Nvidia Reveals: Two Mystery Customers Account for About 40% of Revenue
Woody Allen: "I Would Be Happy to Direct Trump Again in a Film"
Lula and Putin Hold Strategic BRICS Discussions Ahead of Trump–Putin Summit
White House Eyes Budapest for Peace Talks
Cave Diving Beneath the Streets of Budapest
Another American Restaurant Chain Opens in Budapest
Hungarian Opposition Politician Supports Ukrainian Commander
Opposition Leader Threatens Media Outlets
American Airlines Adds New Flights to Budapest
F1 Hungarian Grand Prix Wraps Up
WhatsApp is rolling out a feature that looks a lot like Telegram.
U.S. Trade Representative says Washington still negotiating trade deals after court rules tariffs illegal
Von der Leyen says Europe drawing up 'precise' plans to send troops to Ukraine
Kremlin accuses Europe of hindering Trump’s peace efforts in Ukraine
×