{"id":1197,"date":"2023-10-18T01:54:29","date_gmt":"2023-10-18T01:54:29","guid":{"rendered":"https:\/\/260web.com\/news\/us-china-chip-war-washington-announces-new-export-curbs\/"},"modified":"2023-10-18T01:54:29","modified_gmt":"2023-10-18T01:54:29","slug":"us-china-chip-war-washington-announces-new-export-curbs","status":"publish","type":"post","link":"https:\/\/260web.com\/news\/us-china-chip-war-washington-announces-new-export-curbs\/","title":{"rendered":"US-China chip war: Washington announces new export curbs"},"content":{"rendered":"

US-China chip war: Washington announces new export curbs<\/p>\n

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\"Flag<\/picture><\/span>Getty Images<\/span><\/div>\n<\/figure>\n<\/div>\n
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By Mariko Oi<\/div>\n
Business reporter<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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The Biden administration <\/b>has announced plans to cut off more exports of advanced chips to China.<\/b><\/p>\n<\/div>\n<\/div>\n

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They aim to close loopholes that became apparent after the US announced export restrictions on chips last October.<\/p>\n<\/div>\n<\/div>\n

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The curbs are designed to prevent China’s military from importing advanced semiconductors or equipment.<\/p>\n<\/div>\n<\/div>\n

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The move makes it tougher for companies like Nvidia, Advanced Micro Devices and Intel to sell existing or new chips to the world’s second largest economy. <\/p>\n<\/div>\n<\/div>\n

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The shares of all three companies fell on Wall Street after the announcement<\/p>\n<\/div>\n<\/div>\n

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Nvidia has said in a filing that the new export restrictions will block sales of two high-end artificial intelligence chips it created for the Chinese market, and that one of its gaming chips will also be blocked.<\/p>\n<\/div>\n<\/div>\n

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The Semiconductor Industry Association, which represents 99% of the US semiconductor industry by revenue, said in a statement that the new measures are “overly broad” and “risk harming the US semiconductor ecosystem without advancing national security as they encourage overseas customers to look elsewhere”.<\/p>\n<\/div>\n<\/div>\n

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A spokesperson for the Chinese embassy also said that it “firmly opposes” the new restrictions, Twhich also target Iran and Russia and go into effect in 30 days.<\/p>\n<\/div>\n<\/div>\n

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Two months ago, China started restricting exports of two materials, gallium and germanium, that are key to the semiconductor industry in retaliation. <\/p>\n<\/div>\n<\/div>\n

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China is by far the biggest player in the global supply chain of gallium and germanium. It produces 80% of the world’s gallium and 60% of germanium, according to the Critical Raw Materials Alliance (CRMA) industry body.<\/p>\n<\/div>\n<\/div>\n

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The materials are “minor metals”, meaning that they are not usually found on their own in nature, and are often the by-product of other processes.<\/p>\n<\/div>\n<\/div>\n

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Besides the US, both Japan and the Netherlands – which is home to key chip equipment maker ASML – have also imposed chip technology export restrictions on China.<\/p>\n<\/div>\n<\/div>\n

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The constant tit-for-tat between the world’s two biggest economies has raised concerns over the rise of so-called “resource nationalism” when governments hoard critical materials to exert influence over other countries.<\/p>\n<\/div>\n<\/div>\n

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