United States struck economy of China

The President of the United States President Joe Biden on October 7 announced new measures of export control of Chinese goods, which provide for the ban on the supply of semiconductors made using American technologies, writes Reuters.

The rules entered into force immediately. They are based on the ban on the manufacturers of Kla Corp, Lam Research Corp, the Applied Materials Inc and others to supply their equipment to Chinese plants producing microcircuits. New measures will limit the export of American equipment from such large corporations as NVIDIA and AMD.

New sanctions can seriously brake Chinese industry for the production of chips and microcircuits. “This will drop the Chinese on years ago,” said the expert on technology and cybersecurity from the Center for Strategic and International Research (CSIS) of the analytical center in Washington Jim Lewis.

In addition, the White House added the largest Chinese manufacturer of YMTC chips and another 30 companies in the list of “unverified” legal entities. Now their products cannot be inspected by the relevant US bodies, and therefore cannot be used by American companies.

Many microprocessors that are used in supercomputers will also not supply China to China. This will affect Chinese data centers.

A set of measures can lead to the largest shift in US policy regarding technology supply to China since the 1990s.