US plans new restrictions on chip exports, chip-making tools to China: report


According to a new report, the Biden administration plans to extend export restrictions on US chip companies to China.

Reuters reported Sunday evening that the new restrictions on artificial intelligence semiconductors and chip-making tools will be based on restrictions issued earlier this year in letters to KLA Corp. CLAC,
Lam Research Corp. LRCX,
and Applied Materials Inc. AMAT,

ALSO READ  Ray Dalio's Bridgewater predicts another 20% to 25% drop for the markets - here's what the asset manager is still holding out for shock resistance

The restrictions prevented those companies from exporting semiconductor equipment to Chinese chip makers making sub-14-nanometer processes unless first approved by the Commerce Department, Reuters said.

Also read: 12 Semiconductor Stocks Heading Against the Downtrend

The report said the new curbs would also codify restrictions sent to Nvidia Corp. last month. NVDA were sent,
and Advanced Micro Devices Inc. AMD,
against sending certain AI chips to China. Nvidia shares plunged to a 52-week low after the restrictions were announced.

ALSO READ  Apple, Amazon, Meta, Coinbase, Boeing and more stock movers

The broader restrictions could affect a number of other major tech companies, including Intel Corp. INTC,
Dell Technologies Inc. DELL,
and Hewlett-Packard Enterprise Co. HPE,
according to the report.

Reuters also said other restrictions could be added.


Please enter your comment!
Please enter your name here