U.S. Adds Chinese Technology Companies to Export Blacklist

U.S. Adds Chinese Technology Companies to Export Blacklist

Foto: Depositphotos

The U.S. Commerce Department barred five additional Chinese entities from buying American-made products, according to Bloomberg. That move risks inflaming tensions ahead of President Donald Trump’s planned meeting with Chinese leader Xi Jinping to restart trade talks.

The move follows the similar blacklisting of Chinese telecommunications giant Huawei last month, blocking it from buying U.S. software and components that it needs to make its products. In a statement on Friday, the Commerce Department said the entities were part of China’s efforts to develop supercomputers. It said they raised national security concerns because the computers were being developed for military uses or in cooperation with the Chinese military.

Among those added to the blacklist were AMD’s Chinese joint-venture partner Higon, Commerce said in the statement. Also included were Sugon, which Commerce identified as Higon’s majority owner, along with Chengdu Haiguang Integrated Circuit and Chengdu Haiguang Microelectronics Technology, both of which the department said Higon had an ownership interest in.

The ban affects AMD’s Chinese joint venture THATIC, which was established in 2016. AMD uses THATIC to license its microprocessor technology to Chinese companies including Higon. THATIC, or Tianjin Haiguang Advanced Technology Investment, is a Chinese holding company comprising an AMD joint venture with two entities, according to an AMD regulatory filing. THATIC provides chips to Sugon, a Chinese server and computer maker.

The blacklisting requires American companies doing business with the Chinese firms to get a license from the U.S. government in order to sell their products. The policy for granting such licenses is that there’s a presumption of denial of such a request, according to the Commerce Department statement.

More from category

SEAT Creates a Business Unit to Promote Urban Mobility

SEAT Creates a Business Unit to Promote Urban Mobility

21 Nov 2019 comment

SEAT announced creation of a new strategic business unit, SEAT Urban Mobility.

Huawei Gets Another 90 Days Reprieve

Huawei Gets Another 90 Days Reprieve

20 Nov 2019 comment

The US Department of Commerce gave another 90-day reprieve for Huawei, allowing it to continue trading with American companies until mid-February.

Allianz Partners with Microsoft to Digitally Transform the Insurance Industry

Allianz Partners with Microsoft to Digitally Transform the Insurance Industry

19 Nov 2019 comment

Allianz and Microsoft announced a strategic partnership focused on digitally transforming the insurance industry, making the insurance process easier while creating a better experience for insurance companies and their customers.