Chinese industrial groups advise care in purchasing US chips

Chinese industrial associations voiced strong opposition to the latest semiconductor export control measures implemented by the United States. They urged domestic firms to be cautious when acquiring US chips, as stated in their respective announcements released on Tuesday.

Chinese industrial groups advise care in purchasing US chips
Chinese industrial associations have voiced strong opposition to the recent semiconductor export control measures imposed by the United States, urging domestic companies to be cautious when purchasing US chips, according to statements issued on Tuesday.

The arbitrary nature of US restrictions on China has led to supply chain disruptions and increased operating costs for American companies, adversely affecting the reliable supply of US chip products, stated the China Semiconductor Industry Association (CSIA). "As a result, related Chinese industries have to exercise caution when procuring chips from the United States," warned the CSIA.

Similarly, the China Association of Automobile Manufacturers (CAAM) expressed these concerns, highlighting that trust and confidence in US chip products are diminishing within China's automotive sector. CAAM noted its support for global chip companies to expand collaboration with Chinese automotive and chip enterprises, encouraging them to invest in China, engage in joint research and development, and share development opportunities.

In line with these sentiments, the Internet Society of China urged domestic firms to enhance partnerships with chip companies from other countries and regions, advocating the active use of chips produced by both domestic and foreign firms in China.

Moreover, the China Association of Communication Enterprises called on the government to investigate the security of the supply chain for critical information infrastructure and to implement robust measures to ensure its secure and stable operation.

The latest export control measures from the US impose stricter restrictions on the export of semiconductor manufacturing equipment and chips to China, and additionally, 136 Chinese entities have been added to Washington's export control list.

Olivia Brown contributed to this report for TROIB News