US Tech Firms Forbidden To Manufacture In China

US tech firms that have receive federal funding in the past will be prevented from creating advanced technology factories in China for at least a decade.

The Biden administration has announced new guidelines as part of a $53bn (£43bn) plan aimed at building up the US national semiconductor industry.  the “brain” in every electronic device from cars to household appliances, which are predominantly manufactured in Asia, notably in the sophisticated and immensely  costly fabrication plants located in Taiwan.

The US Chips and Science Act (Chips), is part of the American response to a long-running technological dispute between Washington and Beijing, as US firms demand more government support to reduce reliance on components produced in Chinese factories. It comes as business groups have pushed for more government support in an effort to reduce reliance on China.

They are faced with a global microchip shortage which has slowed production. "We're going to be implementing the guardrails to ensure those who receive CHIPS funds cannot compromise national security, they're not allowed to use this money to invest in China, they can't develop leading-edge technologies in China, for a period of ten years," says Gina Raimondo the US Commerce Secretary, while explaining the US Chips and Science Act. 
"Companies who receive the money can only expand their mature node factories in China to serve the Chinese market."

The US and China are locked in a long-running dispute over trade and technology. In August, US President Joe Biden had signed a law committing $280bn (£232bn) to high tech manufacturing and scientific research, amid fears that the US is losing its technological edge to China. 

The investments include tax breaks for companies that build computer chip manufacturing plants in the US. The US currently produces roughly 10% of the global supply of semiconductors, which are key to everything from cars to mobile phones, down from nearly 40% in 1990.

The Chinese Embassy in Washington had opposed the semiconductor bill, calling it reminiscent of a "Cold War mentality." 

Some US chipmakers have already been affected by the effect of Washington's crackdown on selling US technology to China. Recently Nvidia and AMD were told by US officials to stop the sale of Artificial Intelligence chips to China. The Chips Act commits a total of $280bn to hi-tech manufacturing and research and is designed to increase the US’s competitiveness with China.

White House:     Reuters:    Guardian:     BBC:      Goa ChonicleMobile News24:     Reddit

You Might Also Read: 

US Blacklists Seven Chinese Supercomputer Organisations:

 

« Japan’s Government Websites Come Under Attack
Evil Has New Cyber Weapons »

CyberSecurity Jobsite
Check Point

Directory of Suppliers

Authentic8

Authentic8

Authentic8 transforms how organizations secure and control the use of the web with Silo, its patented cloud browser.

ManageEngine

ManageEngine

As the IT management division of Zoho Corporation, ManageEngine prioritizes flexible solutions that work for all businesses, regardless of size or budget.

MIRACL

MIRACL

MIRACL provides the world’s only single step Multi-Factor Authentication (MFA) which can replace passwords on 100% of mobiles, desktops or even Smart TVs.

Alvacomm

Alvacomm

Alvacomm offers holistic VIP cybersecurity services, providing comprehensive protection against cyber threats. Our solutions include risk assessment, threat detection, incident response.

CSI Consulting Services

CSI Consulting Services

Get Advice From The Experts: * Training * Penetration Testing * Data Governance * GDPR Compliance. Connecting you to the best in the business.

Institute for National Security and Counterterrorism (INSCT)

Institute for National Security and Counterterrorism (INSCT)

INSCT is a center for the study of national security, international security, and counterterrorism. Research programs include New Frontiers in Science, Cyber, & Technology

Center for Internet Security (CIS)

Center for Internet Security (CIS)

CIS is a nonprofit entity that harnesses the power of a global IT community to safeguard private and public organizations against cyber threats.

Luxembourg Institute of Science & Technology (LIST)

Luxembourg Institute of Science & Technology (LIST)

LIST is a mission-driven Research and Technology Organisation. Areas of research include IT and aspects of IT security.

BlackBerry Cybersecurity

BlackBerry Cybersecurity

Blackberry provides intelligent security software and services to enterprises and governments around the world.

VigiTrust

VigiTrust

VigiTrust is a security firm specializing in cloud based eLearning programs, security compliance portals and providing security assessments.

WISeKey

WISeKey

WISeKey is a leading cybersecurity company currently deploying large scale digital identity ecosystems for people and objects using Blockchain, AI and IoT.

ACM-CCAS

ACM-CCAS

ACM is a UKAS-accredited certification body helping businesses around the world perform to a higher standard. Our certifications include ISO 27001 and ISO 22301.

Rezilion

Rezilion

Rezilion is a stealth mode cyber-security start-up developing a cutting edge technology that makes cloud environments self-protecting and resilient to cyber-attacks.

360° Online Brand Protection

360° Online Brand Protection

360° Online Brand Protection have developed a response to monitor counterfeiting and piracy activity at the online point of sale.

Ridge Global

Ridge Global

Ridge Global works with C-suite executives and corporate directors to build more resilient organizations through innovative preparedness, protection, response and education capabilities.

NANDoff Data Recovery

NANDoff Data Recovery

NANDoff is a flat rate data recovery service. We serve the electronics industry around the globe 24/7.

Cyber Crucible

Cyber Crucible

Cyber Crucible is a cybersecurity Software as a Service company definitively removing the risk of data extortion from customer environments.

Obrela Security Industries

Obrela Security Industries

Obrela provides security analytics and risk management services to identify, analyze, predict and prevent highly sophisticated security threats in real time.

NewEvol

NewEvol

Don’t React, Evolve! Outsmart threats with real-time AI-powered dynamic defense capability of NewEvol all-in-one cybersecurity platform.

5S Technologies

5S Technologies

5S Technologies is a regional IT solutions and services provider based in Cary, NC and serving the Carolinas.

Argenta Talent Acquisition

Argenta Talent Acquisition

Argenta Talent Acquisition is a recruitment partner specializing in Space and Defense, Intelligence Community, all things Technical, Cyber, and Logistics.