2023-10-17 13:02:00
On the 17th (local time), the U.S. Joe Biden administration announced additional measures to control the export of semiconductors by U.S. companies to China.
Previously, on October 7 last year, the US Department of Commerce announced export controls that comprehensively restricted the export of advanced semiconductor equipment and artificial intelligence (AI) chips using US technology to China.
The additional export control measures announced today include banning the export of AI chips to China with specifications lower than those included in the export control measures announced in October last year. Additionally, to prevent circumvention of China’s sanctions, the export of semiconductor equipment to companies headquartered in Macau or subject to the U.S. arms embargo is also controlled.
U.S. Secretary of Commerce Gina Lermondo said the purpose of the additional measures was “to block China’s access to advanced semiconductors that can help it achieve technological breakthroughs in artificial intelligence and advanced computing, which are essential for military applications.” Minister Lemondo also emphasized that there was no intention to cause economic damage to China.
This measure is expected to be particularly damaging to Nvidia, which relies on China for 20% of its total sales. NVIDIA has been selling A800 and H800 chips with 10 to 30 percent lower data processing speeds since export control measures in October last year blocked exports of its advanced AI chips, the A100 and H100, to China. Archyde.com reported that this additional export control measure focuses on performance regulations instead of speed regulations, so the A800 and H800 will be hit.
Most consumer chips used in laptops, smartphones and games are exempt from export controls.
The Biden administration also plans to create a “gray list” of low-end chip manufacturers and require these companies to report to the U.S. government if they sell low-end chips to China, Iran, or other countries subject to a U.S. arms embargo.
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