The U.S. Department of Commerce blacklisted over 60 Chinese military and government-linked firms from being able to access American technology.
Included in the ban is Semiconductor Manufacturing International Corporation (SMIC), China’s largest chipmaker.
“We will not allow advanced U.S. technology to help build the military of an increasingly belligerent adversary. Between SMIC’s relationships of concern with the military-industrial complex, China’s aggressive application of military-civil fusion mandates and state-directed subsidies, SMIC perfectly illustrates the risks of China’s leverage of U.S. technology to support its military modernization,” said Commerce Secretary Wilbur Ross.
The new designation will limit the ability of SMIC and over sixty Chinese Communist Party-linked companies to “acquire certain U.S. technology by requiring U.S. exporters to apply for a license to sell to the company.”
“Items uniquely required to produce semiconductors at advanced technology nodes—10 nanometers or below—will be subject to a presumption of denial to prevent such key enabling technology from supporting China’s military-civil fusion efforts,” the Commerce Department added.
Of the additional 60 firms, “these include entities in China that enable human rights abuses, entities that supported the militarization and unlawful maritime claims in the South China Sea, entities that acquired U.S.-origin items in support of the People’s Liberation Army’s programs, and entities and persons that engaged in the theft of U.S. trade secrets.”