U.S. Secretary of Commerce Raimondo speaks at a White House press conference. (April 7, 2021)
The U.S. Department of Commerce announced Thursday (April 8) that it has placed seven Chinese supercomputer companies on its “Entity List” for engaging in “conduct that is harmful to the national security of the United States or the foreign policy interests of the United States.
The U.S. Department of Commerce’s Bureau of Industry and Security made the final decision Thursday to add the following Chinese companies to the sanctions list.
Tianjin Phytium Information Technology (Tianjin Phytium Information Technology).
Shanghai Integrated Circuit Technology and Industry Promotion Center (Shanghai High-Performance Integrated Circuit Design Center).
Shenzhen Sunway Microelectronics Company Limited (Sunway Microelectronics).
The National Supercomputing Center Shenzhen (the National Supercomputing Center Shenzhen).
The National Supercomputing Center Jinan (the National Supercomputing Center Jinan).
The National Supercomputing Center Wuxi (the National Supercomputing Center Wuxi).
The National Supercomputing Center Zhengzhou (the National Supercomputing Center Zhengzhou).
These entities are involved in the manufacture of supercomputers used by Communist Party military units, in projects to modernize the Chinese military and in weapons of mass destruction programs, the Commerce Department press release said.
Supercomputer capabilities are critical to the development of many, perhaps all, modern weapons and national security systems, such as nuclear and supersonic weapons,” Commerce Secretary Gina M. Raimondo said in a statement. The Commerce Department will do its utmost to stop the Chinese Communist Party from using U.S. technology to promote destabilizing military modernization.”
The Washington Post reported Wednesday that Chinese companies use U.S. chips to enhance its weapons systems. The report said Tianjin Feiteng Information Technology Co. claims to be a commercial company that wants to become a global chip giant like U.S. Intel. But the company concealed its close ties to the Communist Party’s military, for which it designed the chips needed for weapons development.
The Washington Post said the China Aerodynamics Research and Development Center has the same dual identity: Externally, it is an ordinary commercial company, but in reality it is a full military-grade unit under China’s National Defense Science and Technology Commission, whose head is a major general. It is directly responsible for the development and testing of China’s supersonic missiles.
Companies on the sanctions list that want to purchase banned goods from U.S. suppliers must submit license applications to the U.S. Department of Commerce to undergo a rigorous review.
Reuters said the Commerce Department’s decision is effective immediately from the date of publication. But banned goods that have already completed the procurement process and are in the delivery stage will not be affected by the decision.
The previous U.S. administration has included dozens of Chinese companies on the list of entities, with Huawei and SMIC among them.
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