Is Another Chip Shortage Looming?
Beijing said Tuesday it would restrict exports to the United States of some key components in making semiconductors, after Washington announced curbs targeting China's ability to make advanced chips.
Among the materials banned from export are metals gallium, antimony and germanium, Beijing's commerce ministry said in a statement that cited "national security" concerns. Exports of graphite, another key component, will also be subject to "stricter reviews of end-users and end-uses", the ministry said.
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"To safeguard national security interests and fulfil international obligations such as non-proliferation, China has decided to strengthen export controls on relevant dual-use items to the United States," Beijing said. "Any organisation or individual in any country or region violating the relevant regulations will be held accountable according to the law."
In its own latest curbs, Washington on Monday announced restrictions on sales to 140 companies, including Chinese chip firms Piotech and SiCarrier, without additional permission. They also impact Naura Technology Group, which makes chip production equipment, according to the US Commerce Department.
The move expands Washington's efforts to curb exports of state-of-the-art chips to China, which can be used in advanced weapons systems and artificial intelligence. The new US rules also include controls on two dozen types of chip-making equipment and three kinds of software tools for developing or producing semiconductors.
Beijing swiftly vowed to defend its interests, saying the United States "abuses export control measures" and has "hindered normal economic and trade exchanges". And on Tuesday, China said Washington had "politicised and weaponised economic, trade and technological issues" as it unveiled its own export curbs.
The moves also restrict the exports of "dual-use items to United States military users or for military purposes", Beijing said.
