The Commerce Department announced last week that several Chinese companies, including China’s largest chipmaker SMIC, are on a list of entities that could be likened to a trade blacklist, meaning U.S. suppliers would have to obtain special licenses to supply these companies. However, two Republican members of Congress still suspect that the restrictions on SMIC are not strict enough and asked the government to further tighten them.
Republican Senator Marco Rubio and Texas Republican Congressman Michael McCaul, vice chairman of the House Foreign Affairs Committee, said in a letter Tuesday (22) that the Commerce Department’s list of entities is not strict enough and should be rewritten immediately to close a “dangerous loophole. They described the loophole as “allowing nearly all sales to SMIC to continue unrestricted, supporting the Communist Party’s goal of military superiority.
They also said they are concerned that the Commerce Department, without changing the regulations, will “in no way be able to effectively address this growing national security threat.
Recent Comments