Cover Story: The Sweeping Impact of New U.S. Semiconductor Restrictions
The Biden administration landed its heaviest blows yet in this month’s escalation of the U.S. war on China’s semiconductor ambitions. The sweeping new restrictions unveiled Oct. 7 affect not only the sale of advanced integrated circuits, sophisticated chipmaking equipment and supercomputer parts but also China’s ability to hire top talent.
In the short term, the restrictions will limit Chinese chipmakers’ ability to make certain types of electronic devices that are at the heart of modern products ranging from household appliances to mobile phones, smart electric vehicles and advanced military weapons. In the long term, the policies may spur China to try to accelerate its self-sufficiency drive in semiconductors and the equipment to produce them, industry experts say.
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