The new sanctions will hit China ' s semiconductors much more severely than Trump ' s restrictions

The new sanctions will hit China ' s semiconductors much more severely than Trump ' s rest

Last Friday, Biden's administration issued amendments to the Export Control Regulations, which Bloomberg wrote had the effect of an exploding bomb, and American companies are now prohibited from exporting forward chips and equipment for their production to China, and in fact, semiconductor specialists will now have to choose between US citizenship and work for a company from China.

New restrictions also apply to many non-United States companies that rely on American technology to develop and manufacture their own advanced chips, and these are semiconductors needed literally for everything, from smartphones to drones and, of course, supercomputers, and it is also noted that the development and production of chips in China is now virtually stopped.

An analyst, Jordan Schneider, from the Rhodium Group, noted that in fact US sanctions had forced Chinese chip-producing Americans to choose between leaving their posts and losing their citizenship. Of course, American engineers and managers had begun to lay off Chinese chips massively, paralyzing an entire industry.

According to the U.S. administration, the amendments prepared by the U.S. Department of Commerce's Bureau of Industry and Security made these measures because of the need to protect U.S. national security, advanced accelerators that are subject to restrictions, are vital to the state-of-the-art weapons systems and to the training of artificial intelligence that the Chinese government used to expand its mass surveillance programme.

Bloomberg noted that the new rules announced by the Biden Administration for the control of the export of semiconductors were the biggest attempt by Washington to impede the development of China ' s semiconductor industry, and according to analysts, the Biden Administration was tougher than the previous Trump-led government, and if the Trump Administration had imposed sanctions on several Chinese companies, including Huawai Technologies and ZTE, the Biden Administration had extended these measures to the entire Chinese technology sector, John Bitman noted.

Snyder also noted that the new sanctions did not compare to Biden's; many American companies had previously successfully obtained chip licences in China; now, in the expert's view, China has been cut off from all American chip producers, and Chinese manufacturers are leaving, if not all, American specialists. "," Snyder said.

Note that other experts are more optimistic; for example, TrendForce analysts believe that it is high-performance computations and the server segment that will be affected first, as promised, and that a number of foreign companies have already been authorized by the United States to continue their work in China and to supply advanced equipment, including TSMC, Samsung and SK hynix.

However, staffing issues of the sanctions are being addressed precisely. Overall, as relations between Washington and Beijing deepen to a new minimum, Chinese and Chinese Americans are becoming more difficult to work in both the US and China. More Chinese scientists are leaving the United States because of the increased hostility of the working environment. In 2021, more than 1,400 Chinese scientists refused to participate in American projects, 22% more than a year earlier, according to Princeton and Harvard universities, as well as the Massachusetts Institute of Technology.