A U.S. official revealed that China has been informed of U.S. plans to update the rules banning the export of artificial intelligence chips and chipmaking tools to Beijing, according to a Reuters report.
The rules were first implemented in October 2022 as part of Washington’s effort to address national security concerns, hinder China’s efforts to develop its own semiconductor supply chain, and prevent it from developing supercomputers and advanced semiconductors that could strengthen the Chinese military.
New Dutch and Japanese chip restrictions are expected to be worked into the updated U.S. export controls, which could be implemented in the coming days. According to other sources, the update would expand the list of chipmaking tools covered by the American export restrictions.
The upcoming rules may impact companies manufacturing systems with parts and components originating from the U.S., including Dutch chip equipment maker ASML, Reuters reported.
Chinese companies, meanwhile, have started investing in chip research and development efforts since the restrictions were imposed. According to a Nikkei Asia report, the companies aim to develop products that are not copied from Japanese, U.S. and European businesses.