Unlock the White House Watch newsletter for free
Your guide to what Trump’s second term means for Washington, business, and the world
The Trump administration is considering adding several Chinese chipmaking companies to an export blacklist, including memory chipmaker ChangXin Memory (CXMT), Semiconductor Manufacturing International Corp, and Yangtze Memory Technologies Co. The move is aimed at making it harder for China to obtain advanced American chips and chipmaking technology that could be used to modernize its military.
However, some officials are urging a delay in implementing the blacklist to avoid disrupting ongoing trade negotiations with China. The Commerce Department, specifically the Bureau of Industry and Security, has compiled a list of Chinese companies to be added to the “entity list,” which restricts American companies from selling to them without government licenses.
The potential addition of these Chinese companies to the blacklist comes at a delicate time, with China and the US recently agreeing to slash reciprocal tariffs for 90 days to facilitate broader trade negotiations. While some in the Trump administration argue that a delay in taking action against China could undermine the negotiations, others believe it is necessary to prevent China from gaining access to critical technology.
China hawks have long advocated for targeting CXMT, which has been rapidly expanding its market share in the global Dram memory chip market. The chipmaker is also actively involved in developing high-bandwidth memory (HBM), crucial for operating artificial intelligence models.
US security officials are concerned that China has been able to acquire American technology too easily, potentially supporting its military in developing hypersonic weapons and modeling nuclear weapons. As a result, export controls on Chinese chipmakers are seen as a necessary step to protect national security interests.
The Chinese companies targeted for inclusion on the blacklist have not responded to requests for comment. The Chinese embassy in the US has stated that China opposes the US’s use of export controls to block and suppress Chinese companies.
Both the Commerce Department and the White House declined to comment on the potential blacklist. Stay tuned for further developments on this important issue.
