Trade Matters

1. New Controls Targeting Chinese Semiconductor and Supercomputer Sectors

The U.S. Department of Commerce's Bureau of Industry and Security (BIS) recently issued an interim final rule that significantly expands export controls on advanced computing materials and semiconductors. These controls are intended to prevent China's use of such materials to produce advanced military weapons and commit human rights abuses. The rule imposes restrictive export controls on certain advanced computing semiconductor chips, supercomputer end uses, and transactions involving certain entities on the Entity List. Further, the rule adds new Export Control Classification Numbers (ECCNs) to the Commerce Control List (CCL) controlling the export of certain advanced computing chips, semiconductor manufacturing equipment, and other associated technologies; revises existing ECCNs; establishes new end-use controls for certain items on the CCL; and expands the scope of the Foreign Direct