U.S. Expands Trade Restrictions on Chinese Chipmakers

President Joe Biden's administration has expanded its restricted trade list to include over two dozen Chinese entities, citing national security concerns. The additions include companies linked to Huawei and restrictions on the export of advanced AI chips to China. Notably, Sophgo was identified due to its association with Huawei's AI projects.

The Biden administration took a significant step on Wednesday by adding more than two dozen Chinese entities to its restricted trade list. The move targets a company linked to a chip illegally used in a Huawei processor produced by Taiwan Semiconductor Manufacturing Co. among others.

Included in the list are Sophgo and other China-based companies, along with two firms from Singapore. These companies now face barriers to receiving goods or technology exports without a license, which is commonly denied. The list has been expanded in a bid to protect U.S. national security.

The expansion of these trade restrictions comes alongside new U.S. rules to limit access to advanced computing semiconductors in China. These actions are a continuation of efforts to prevent technological advances that could bolster China's military capabilities and were reported following exclusive revelations by Reuters.

(With inputs from agencies.)