US imposes export controls on China due to national security, says official
In response to China’s growing semiconductor market, the Biden administration seeks to carefully control US exports, balancing national security and minimising revenue losses for American firms.
The US Secretary of Commerce, Gina Raimondo, stated that the United States is implementing targeted controls on exports to China to safeguard national security. Raimondo clarified that the aim is not to withhold basic technology from China but rather to prevent the transfer of advanced technology that could be used for military purposes. While acknowledging that these rules may impact some American companies’ revenue, Secretary believes it is a necessary and worthwhile measure.
In response to China’s significant semiconductor market share, the administration is cautious about implementing further restrictions, seeking a measured approach to avoid unintended consequences for American businesses. Leading US chip companies, such as Intel, Qualcomm, and Nvidia, are actively engaged in discussions with government officials, including the Secretary of State, National Economic Council director, and National Security Council director, to strike a balance between safeguarding national security and preserving economic interests.
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