Flags of China and U.S. are displayed on a printed circuit board with semiconductor chips, in this illustration picture taken February 17, 2023. Reuters reported in June that the very AI chips barred by prior regulations could be purchased from vendors in China's Shenzhen. AI capabilities, aided by supercomputing and advanced chips, improve the speed and accuracy of military decision-making, planning and logistics, according to the regulations released Tuesday. LICENSING EXPANDEDThe new measures also expand licensing requirements for exports of advanced chips to more than 40 additional countries that present risks of diversion to China and are subject to U.S. arms embargoes. "We don’t think incremental semiconductor equipment restrictions are likely to have significant long term effects" on equipment suppliers, Wolfe Research said in a client note.

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Persons: Florence Lo, Biden, Moore, Gina Raimondo, Biren, ASML, Lam, Raimondo, Jake Sullivan, Janet Yellen, Alexandra Alper, Karen Freifeld, Stephen Nellis, David Shepardson, Max A, Chris Sanders, Jamie Freed, Daniel Wallis Organizations: REUTERS, Rights, Nvidia, Beijing, Commerce, Reuters, Georgetown University's Center for Security, Emerging Technology, Xilinx, Intel, supercomputing, HIT, AMD, U.S, Lam, Applied Materials, Wolfe Research, Semiconductor Industry Association, Thomson Locations: China, U.S, Iran, Russia, Beijing, China's Shenzhen, Georgetown, CHINA, Macau, Netherlands