US Chip Tech Ban - Top Challenges for The Semiconductor Industry

Tensions between the US and China have further heightened as the Biden administration announced new export restrictions to curb China’s access to US chip technology. These are the broadest export controls imposed in a decade and are expected to take effect this month. Some of these export controls aim to prevent critical technologies from being acquired by China’s military, intelligence, and security services. Companies would require special licenses to supply advanced computing chips, semiconductor production equipment, and other products to China. With this new development, the semiconductor industry is disrupted yet again, with the stocks of leading chip-producing companies taking a hit.