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The Biden administration is considering closing a loophole that allows Chinese companies to access American AI chips through overseas units. The US last year imposed restrictions on shipments of AI chips and chipmaking tools to China, but left overseas subsidiaries of Chinese firms with unfettered access.
Japan's imposition of export controls on chip making tools to align with a U.S. policy restricting China's ability to produce advanced semiconductors is worrying some officials in Tokyo who believe a combative U.S. approach may hamper coordination and needlessly provoke Beijing.
Wopke Hoekstra’s remarks come as Western governments take an increasingly defensive stance towards Beijing, amid concerns over ‘economic coercion’ and illegal tech transfers.
The US has held months of talks with the Dutch and Japanese governments to get them to adopt restrictions to hobble China’s ability to make advanced semiconductors.