U.S. Commerce Department's Bureau Of Industry And Security Rule Regarding Advanced Computing Chips

October 18, 2023 – On October 17, 2023, the U.S. Department of the Commerce's Bureau of Industry and Security ("BIS") released three rules modifying and reinforcing the export controls it previously released on October 7, 2022. As these interim rules have different implementation dates, the October 7, 2022 export controls remain in effect until superseded on the effective dates outlined below. Below, we provide a brief overview of the three new rules:

1. Advanced Computing Chips Interim Final Rule (AC/S IFR)

The AC/S IFR retains the stringent People's Republic of China (PRC)-wide (including Hong Kong) licensing requirements imposed in the October 7, 2022 rule and makes two categories of updates: 1) it adjusts the parameters that determine whether an advanced computing chip is restricted and 2) imposes new measures to address risks of circumvention of the controls.