Biden to hit China with new curbs on U.S. chips

STORY: U.S. chipmakers look set to face stricter curbs on exports to China.

Reuters sources say Washington is to impose new restrictions on semiconductors used in artificial intelligence and chipmaking.

They say the Commerce Department will publish new rules codifying measures set out earlier this year in letters to U.S. firms.

Companies including Nvidia and Advanced Micro Devices received those communications.

They were told to stop shipments of specified chips unless licensed by the department.

Some of the sources said the new restrictions would include extra actions against China.

Turning the letters into rules would broaden their reach, and bring other companies under their remit.

One source said the new measures could also cover products containing the specified chips.

Firms including Dell and Hewlett Packard Enterprise said they were monitoring the situation.

A Commerce Department spokesperson declined to comment on the reports.

Joe Biden’s administration has sought to thwart China’s advances by targeting technology where the U.S. still dominates.

Experts say Washington has identified chips as a key choke point for Beijing.