New restrictions on what can be sold to China could be introduced in the coming months
The White House is considering moves to restrict U.S. investment in Chinese tech companies amid growing tensions between the world’s two largest economies, Bloomberg reported on Saturday, citing people familiar with the matter.
US President Joe Biden is expected to sign an executive order on investment restrictions in the coming months. One of the sources told the agency that separate action could be taken against TikTok, the popular video-sharing app in China. The Commerce Department may also introduce new restrictions on chips used for artificial intelligence computing.
The White House is reportedly discussing with Congress the possibility of passing legislation requiring US companies to announce in advance possible investments in certain Chinese industries. The establishment of a system allowing the government to purely and simply block such investments is also envisaged.
Earlier this week, two of the biggest U.S. chipmakers Nvidia and AMD said Washington had introduced new restrictions to cut off China and Russia from high-end artificial intelligence chips. The new limits relate to graphics processing unit, or GPU, chips initially developed for video games but quickly adopted by companies operating supercomputers, as well as scientists and technology companies that need them to recognize speech and the objects in the photographs.
US limits chip sales to Russia and China – media
According to the US administration, chip producers in the country will now need special export licenses to sell these types of chips because, due to their specifications, they can be used by Russia and China for the development of weapons and intelligence gathering.
For more stories on economics and finance, visit RT’s business section
You can share this story on social media: