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But Nvidia has created variants of its chips for the Chinese market that are slowed down to meet U.S. rules. Even the slowed Nvidia chips represent an improvement for Chinese firms. The back-and-forth between government and industry exposes the U.S. challenge of slowing China's progress in high tech without hurting U.S. companies. Chip industry sources said that was an effective action. Some in the AI industry believe that is still plenty of speed.

WASHINGTON, April 28 (Reuters) - The Biden administration outlined efforts this week to address growing U.S. national security concerns on foreign companies' handling of Americans' data. Concerns about Chinese-owned TikTok have sparked new efforts in Congress to boost powers to address it or potentially ban the popular short video sharing app. Under Commerce Secretary for Industry and Security Alan Estevez was among those addressing information and communications technology supply (ICTS) chain threats, the department said. "I think it is a top priority and we need to move with urgency," U.S. Commerce Secretary Gina Raimondo said at a Senate hearing on Wednesday of the legislative effort. Days before then President Donald Trump left office in 2021, the Commerce Department issued aimed at addressing ICTS concerns posed by China, Russia, Iran, North Korea, Cuba and Venezuela.

☆ Seagate hit with $300 million penalty for continuing $1 billion relationship with blacklisted firm Huawei, despite U.S. export controls
▼ + stars: | 2023-04-20 | by ( Rohan Goswami | In Rohangoswamicnbc | ) www.cnbc.com time to read: +3 min

Computer storage company Seagate will pay a $300 million penalty for allegedly continuing an unauthorized $1.1 billion relationship with Chinese technology firm Huawei after the company was added to a U.S. trade blacklist in 2020. Seagate shipped over 7.4 million HDDs to Huawei from Aug. 2020 to Sept. 2021, federal regulators said. Neither Huawei nor Seagate made an apparent effort to hide their relationship, according to federal charging documents. Those lines of credit allowed Huawei to order an "increasing volume" of HDDs, federal regulators said, that Huawei wouldn't have been able to pay for otherwise. Even after export controls were imposed, a senior Seagate executive publicly justified the continued relationship with Huawei, regulators alleged.

☆ U.S. to Penalize Companies for Staying Quiet About Export-Control Issues
▼ + stars: | 2023-04-19 | by ( David Smagalla | ) www.wsj.com time to read: 1 min

Export controls are are administered by the Commerce Department’s Bureau of Industry and Security. The U.S. Commerce Department is cracking down on companies that discover potential export-control violations but choose not to disclose them to the government. Export controls restrict where U.S. companies can sell technologies with both commercial and military uses. The rules aim to prevent adversaries such as China, Russia and Iran from boosting their capabilities with advanced Western technology. They are administered by the Commerce Department’s Bureau of Industry and Security, which can bring civil penalties against companies that allow such “dual use” items to fall into the wrong hands.

Qaem-5 precision-guided munition, documented by Conflict Armament Research in Ukraine. Shahed-131 UAV documented by Conflict Armament Research in Ukraine. Circuit boards of four different items of Russian military equipment found in Ukraine by Conflict Armament Research investigators. Electronic components documented by Conflict Armament Research investigators in Ukraine. Source: Conflict Armament Research

☆ US weighs action against Russian cybersecurity firm Kaspersky Lab -WSJ
▼ + stars: | 2023-04-07 | by ( ) www.reuters.com time to read: +1 min

April 7 (Reuters) - The U.S. Department of Commerce is weighing an enforcement action against Russian cybersecurity company Kaspersky Lab, the Wall Street Journal reported on Friday citing people familiar with the matter. President Joe Biden's administration is looking at an enforcement action against the company under its online security rules, the report said. The administration ramped up its national security probe into Kaspersky Lab's antivirus software last year as fears grew about Russian cyberattacks after Moscow invaded Ukraine. Kaspersky Labs did not immediately respond to a Reuters request for comment. The reported enforcement action on Kaspersky follows the introduction of a new U.S. legislation that would allow the White House to ban China based TikTok or other foreign-based technologies if they pose a national security risk.

☆ Two Canadian firms included in US sanctions list for alleged support to Russia
▼ + stars: | 2023-03-07 | by ( Kanishka Singh | ) www.reuters.com time to read: +2 min

WASHINGTON, March 6 (Reuters) - The United States' list of recently sanctioned entities for alleged support for Russia's war effort in Ukraine includes two Canadian companies, U.S. and Canadian authorities said on Monday. The Commerce Department recently imposed export curbs on nearly 90 Russian and third-country companies and prohibited them from buying items such as semiconductors. The Commerce Department list did not mention what the two firms shipped or attempted to ship that triggered U.S. action. He added the company intended to engage further to address the concerns but could not comment on any specifics at this point. Reporting by Kanishka Singh in Washington; Editing by Tomasz Janowski and Himani SarkarOur Standards: The Thomson Reuters Trust Principles.

☆ US approved 192 licenses for exports to blacklisted Chinese firms early 2022
▼ + stars: | 2023-03-04 | by ( Karen Freifeld | ) www.reuters.com time to read: +2 min

March 3 (Reuters) - The Biden administration approved 192 licenses worth over $23 billion to ship U.S. goods and technology to Chinese companies on a U.S. trade blacklist in the first quarter of last year, according to a document released by a U.S. congressional committee on Friday. The 192 licenses granted were out of 242 license applications decided between January and March 2022, a chart showed, and 115 of those approved contained controlled technology. Nineteen, or 8 percent of the total number of applications, were denied, and 31 were returned without action. "This critical U.S. technology is going to the Chinese Communist Party's surveillance and military efforts," he said. BIS also noted that licenses for some well-known Chinese companies are reviewed under policies set by the Trump administration that do not carry presumptions of denial.

☆ U.S. Export Limits Target 28 Chinese Entities, Citing Alleged Ties to Iranian Military
▼ + stars: | 2023-03-02 | by ( Ian Talley | ) www.wsj.com time to read: 1 min

WASHINGTON—The U.S. Commerce Department on Thursday targeted more than two dozen Chinese entities with export restrictions, part of a broader effort by the Biden administration to mitigate what it says is a growing national security threat from China. In adding the 28 Chinese firms and individuals to its Entity List, Commerce’s Bureau of Industry and Security said the firms represented a range of potential national security risks including through alleged dealings with an Iranian electronics firm previously sanctioned by the U.S. for its alleged ties to Tehran’s military.

☆ U.S. approved 70% of export license applications from China in 2022
▼ + stars: | 2023-02-27 | by ( David Shepardson | ) www.reuters.com time to read: +2 min

WASHINGTON, Feb 27 (Reuters) - The U.S. Commerce Department and other government agencies approved about 69.9% of export license applications involving China in the 2022 budget year, according to written testimony made public ahead of a U.S. House hearing Tuesday. Companies on the Entity List are restricted from receiving U.S.-origin goods and technology. Commerce also maintains the Unverified List (UVL) that requires checks for U.S. technology use. BIS warned in October that unverified users could be moved to the more restrictive Entity List. Estevez said it removed 25 of 28entities from the unverified list after checks in late 2022.

☆ U.S. likely to cap level of S.Korean chips made in China- U.S. official
▼ + stars: | 2023-02-24 | by ( ) www.reuters.com time to read: +2 min

SEOUL, Feb 24 (Reuters) - The United States will likely limit the level of advanced semiconductors made by South Korean companies in China, a senior U.S. official said. Estevez who oversees restrictions on tech exports to China made the comments on Thursday during a forum hosted by the Center for Strategic and International Studies, a Washington-based think tank. Samsung Electronics and SK Hynix were not immediately available for comment. Earlier, an American official acknowledged the existence of a deal with Japan and the Netherlands for those countries to impose new restrictions on exports of chipmaking tools to China. read moreReporting by Ju-min Park and Heekyong Yang; Editing by Kim CoghillOur Standards: The Thomson Reuters Trust Principles.

☆ U.S. House panel to hold hearing on policy toward China
▼ + stars: | 2023-02-21 | by ( Karen Freifeld | ) www.reuters.com time to read: +1 min

Feb 21 (Reuters) - The House Foreign Affairs Committee will hold a hearing next Tuesday with top officials on China policy to identify gaps in pursuing what it called a "more holistic approach" to countering aggression by the Chinese Communist Party. The hearing, announced by the panel's chair, Representative Michael McCaul, a Republican, is called, "Combating the Generational Challenge of CCP Aggression." Alan Estevez, the U.S. Commerce Department's under secretary for industry and security, who oversees restrictions on tech exports to China, is among the witnesses. McCaul has been pressing Estevez on the need to ensure China is not transferring U.S.-origin technology to state sponsors of terrorism, and has called for tighter restrictions on exports to blacklisted companies like China's Huawei, which are viewed as a threat to U.S. national security. Reporting by Karen Freifeld; Editing by David GregorioOur Standards: The Thomson Reuters Trust Principles.

☆ U.S. Launches ‘Strike Force’ to Keep Disruptive Tech Away From Adversaries
▼ + stars: | 2023-02-17 | by ( Dylan Tokar | ) www.wsj.com time to read: +4 min

Export controls are a set of regulations that restrict the sale of technologies with both commercial and military uses. They are administered by the Commerce Department’s Bureau of Industry and Security, which can bring civil penalties against companies that allow such “dual use” items to fall into the wrong hands. The Commerce Department’s Bureau of Industry and Security last year said it was making several changes to give its rules sharper teeth. “Our goal is simple but essential: to strike back against adversaries trying to siphon our best technology,” Ms. Monaco said. The committee is also turning its gaze from inbound investment in physical assets to sensitive data and digital innovations that could be used to pose data and cybersecurity risks, she said.

☆ Justice Department to Increase Scrutiny of Technology Exports, Investments
▼ + stars: | 2023-02-16 | by ( Dylan Tokar | ) www.wsj.com time to read: +4 min

A senior Justice Department official on Thursday said the agency would intensify its efforts to block foreign adversaries such as China and Russia from obtaining sensitive data and technologies, including by launching a new partnership with the U.S. Commerce Department. Export controls are a set of regulations that restrict the sale of technologies with both commercial and military uses. The Commerce Department’s Bureau of Industry and Security last year said it was making several changes to give its rules sharper teeth. “Our goal is simple but essential: to strike back against adversaries trying to siphon our best technology,” Ms. Monaco said. Although many of the Justice Department’s export controls cases in recent years have focused on individuals, prosecutors in 2021 fined German software company SAP SE for violating export regulations by providing millions of dollars in software to Iran.

☆ U.S. curbs slowly crippling Russia's military - official
▼ + stars: | 2023-02-16 | by ( Karen Freifeld | ) www.reuters.com time to read: +2 min

Feb 16 (Reuters) - A top U.S. trade official said on Thursday that export controls placed on Russia after the invasion of Ukraine have slowly reduced the supply of materials that Moscow can use to rebuild its war machine. "Evasion techniques are not going to get you the scale you need to reconstitute your military over time," Estevez said in an interview with Reuters. "It's easier to smuggle micro-electronics than it is to smuggle a CNC machine," Estevez said, referring to a computer-coded machine used for high-precision metal shaping and milling. Estevez reiterated that export controls and financial sanctions on Russia work over time, not at once. "Over time, Putin's war machine is going to be crippled, and as we continue to supply arms to Ukraine, their military capability is going up and Putin's is going down," he said.

☆ US restricts 6 Chinese companies tied to airships and balloons
▼ + stars: | 2023-02-11 | by ( Brian Rokus | ) edition.cnn.com time to read: +2 min

CNN —The US Commerce Department is restricting six Chinese companies tied to the Chinese army’s aerospace programs from obtaining US technology without government authorization. US fighter jets shot down the balloon, which American officials have since claimed is part of an extensive surveillance program run by the Chinese military. The six companies are: Beijing Nanjiang Aerospace Technology; China Electronics Technology Group Corporation 48th Research Institute; Dongguan Lingkong Remote Sensing Technology; Eagles Men Aviation Science and Technology Group; Guangzhou Tian-Hai-Xiang Aviation Technology; and Shanxi Eagles Men Aviation Science and Technology Group. The inclusion of the companies on the Commerce Department’s “Entity List,” sends “a clear message to companies, governments, and other stakeholders globally that the entities on the list present a threat to national security,” the statement said. “Today’s action makes clear that entities that seek to harm US national security and sovereignty will be cut off from accessing US technologies.”CNN has reached out to the companies involved and the Chinese government for comment.

The suspected Chinese spy balloon drifts to the ocean after being shot down off the coast in Surfside Beach, South Carolina, U.S. February 4, 2023. The U.S. slapped sanctions against six Chinese aerospace companies that it said supported the Beijing's reconnaissance balloon program, adding them to a list of companies the U.S. considers a significant national security threat. We will not hesitate to use the Entity List and our other regulatory and enforcement tools to protect U.S. national security." Last weekend, a high altitude Chinese surveillance balloon was shot down off the coast of South Carolina. "Today's action makes clear that entities that seek to harm U.S. national security and sovereignty will be cut off from accessing U.S.

☆ Treasury Secretary Yellen and China's Liu He talk U.S. tech policy at their first in-person meeting
▼ + stars: | 2023-01-19 | by ( Evelyn Cheng | ) www.cnbc.com time to read: +1 min

U.S. Treasury Secretary Janet Yellen and Chinese Vice Premier Liu He held their first in-person meeting in Zurich on Jan. 18, 2023. BEIJING — Chinese Vice Premier Liu He discussed U.S. economic and tech policy toward China in a meeting with U.S. Treasury Secretary Janet Yellen on Wednesday, according to a Ministry of Commerce readout. China "hopes the U.S. side pays attention to the policies' impact on both sides," the readout said, according to a CNBC translation. The meeting in Zurich was the first time Yellen and Liu met in person, after three years of Covid-related restrictions on travel. While Beijing retaliated with tariffs of its own, its most substantive response to U.S. tech bans has been filing a dispute with the World Trade Organization in December.

REUTERS/Andrew KellyWASHINGTON, Dec 22 (Reuters) - A $1.7 trillion government funding bill approved by the U.S. Senate Thursday will bolster U.S. regulators and make it easier for states to bring antitrust lawsuits. The National Labor Relations Board is receiving a $25 million increase to $299 million after not receiving a funding lift in more than a decade. The International Trade Administration, which investigates foreign trade practices, is getting a $55 million increase to $625 million. The spending bill includes a measure that strengthens state attorneys general by allowing them to choose the venue where they bring antitrust lawsuits. The funding bill includes a new provision to ensure millions of working mothers have reasonable break time and a private place to pump breast milk.

REUTERS/Igor RussakWASHINGTON, Dec 21 (Reuters) - The Biden administration on Wednesday unveiled new curbs on technology exports to Russia's Wagner military group, in a bid to further choke off supplies to the contractor over its role in the Russian invasion of Ukraine. The Wagner group, which was added to a trade blacklist in 2017 after Russia annexed Ukraine's Crimea region, will now be labeled a military end user and face tough new curbs on access to technology made anywhere in the world with U.S. equipment. “The Wagner Group is one of the most notorious mercenary organizations in the world and is actively committing atrocities and human rights abuses across Ukraine,” said Under Secretary of Commerce for Industry and Security Alan Estevez. The Wagner group, a private military contractor with close ties to the Kremlin, was founded in 2014 after Russia seized and annexed Ukraine's Crimea peninsula and sparked a separatist insurgency in Ukraine's eastern Donbas region. Reporting by Alexandra Alper and David Shepardson; Editing by Leslie Adler and Jonathan OatisOur Standards: The Thomson Reuters Trust Principles.

☆ U.S. slaps restrictions on Chinese chipmaker and other companies over national security worries
▼ + stars: | 2022-12-15 | by ( Kevin Breuninger | ) www.cnbc.com time to read: +3 min

The Biden administration said Thursday it was "severely" restricting dozens of mostly Chinese organizations, including at least one chipmaker, over their efforts to use advanced technologies to help modernize China's military. The Bureau's latest action comes more than two months after the Biden administration imposed new curbs on China's access to advanced semiconductors. "I've long sounded the alarm on the grave national security and economic threats behind YMTC and other CCP-backed technology companies, like CXMT and SMIC," Senate Majority Leader Chuck Schumer, D-N.Y., said in a statement Thursday morning. "YMTC poses an immediate threat to our national security, so the Biden Administration needed to act swiftly to prevent YMTC from gaining even an inch of a military or economic advantage," Schumer said. Four more were added due to "their significant risk of becoming involved in activities that could have a negative impact" on U.S. national security of foreign policy, according to the release.

☆ A globally critical chip firm is driving a wedge between the U.S. and Netherlands over China tech policy
▼ + stars: | 2022-12-05 | by ( Arjun Kharpal | ) www.cnbc.com time to read: +4 min

The U.S. has been putting pressure on the Netherlands to block exports to China of high-tech semiconductor equipment. The Netherlands is home to ASML, one of the most important companies in the global semiconductor supply chain. Instead, it makes and sells $200 million extreme ultraviolet (EUV) lithography machines to semiconductor manufacturers like Taiwan's TSMC. ASML has not been able to ship an EUV machine to China since 2019 due to various Dutch export restrictions, according to a company spokesperson. According to a Reuters report from 2020, the Dutch government withdrew ASML's license to export its EUV machines to China after extensive lobbying from the U.S. government.

☆ Biden administration expects near term deal with allies on China export curbs-official
▼ + stars: | 2022-10-27 | by ( ) www.reuters.com time to read: +1 min

WASHINGTON, Oct 27 (Reuters) - The Biden administration expects to ink a deal with allies in the near-term to bring them on board with new rules curbing China's access to sophisticated chipmaking tools, a senior Commerce Department official said on Thursday. Earlier this month, the Commerce Department published a sweeping set of export controls, including measures tightly restricting Chinese access to U.S. chipmaking technology, vastly expanding its reach in its bid to slow Beijing's technological and military advances. But it faced criticism for failing to bring key allies on board with the equipment curbs, since Japanese and Dutch firms, along with U.S. companies, produce chipmaking equipment. Estevez serves as under secretary of commerce for industry and security, overseeing restrictions on exports to countries like Russia and China. Reporting by Alexandra Alper and Karen FreifeldOur Standards: The Thomson Reuters Trust Principles.

WASHINGTON, Oct 14 (Reuters) - The United States on Friday warned it can impose sanctions on people, countries and companies that provide ammunition to Russia or support its military-industrial complex, as Washington seeks to increase pressure on Moscow over the war in Ukraine. Muir was also set to warn that Russian intelligence services are tasked with illicitly acquiring Western technology and parts barred from being exported to Russia under U.S. measures. The Commerce Department has previously warned that semiconductors produced by Western companies have turned up in Russian military drones and other uses. Asked how much more Western allies could do to increase pressure on Russia, one European finance official said, "We can extend the list of people who are under sanctions. "But I think clearly the sanctions will show their impact in terms of industrial value chains in Russia," the European official said, speaking on condition of anonymity.

HONG KONG, Oct 11 (Reuters Breakingviews) - Washington's sweeping technology curbs on China today will have ripple effects across global supply chains tomorrow. But the ban may prompt Chinese chipmakers to hasten their progress in the commoditised parts of the market, embedding firms like Semiconductor Manufacturing International (0981.HK) in global supply chains. The measures mark a huge escalation in President Joe Biden's efforts to hobble Beijing's chip advances. Essentially, any company that uses American equipment will be restricted from selling relatively high-tech semiconductors or tools to Chinese firms. And because nearly every factory relies on crucial hardware and software from U.S. suppliers like Lam Research (LRCX.O) and Applied Materials (AMAT.O), the latest move potentially sets back Chinese chipmakers by years, if not decades.

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