Qualcomm supports “targeted and rule-based export controls” as one of several long-term federal policy recommendations for curing the semiconductor shortage, the chipmaker told the Bureau of Industry and Security in comments posted Nov. 10. Washington should “control emerging technologies,” consistent with the 2018 Export Control Reform Act, by imposing targeted and rule-based export controls and avoid disrupting semiconductor supply, especially in legacy node chipsets,” Qualcomm said. “Unilateral controls would only hinder Qualcomm and other U.S. companies from selling in foreign markets, undermining their R&D investments and disadvantaging them against their foreign competitors.” Some international rivals already have “both the technology capability and funding to develop global leadership in these areas,” it said. Submissions to BIS were due Nov. 8 for the agency's September request for information as it prepares a report to the White House on the chip shortage and semiconductor supply chain issues (see 2109230018).
Export Compliance Daily is providing readers with the top stories for Nov. 1-5 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The U.S. should continue to impose export controls on advanced semiconductor manufacturing equipment and machinery but be careful about restricting sales of finished semiconductor products to China, Chinese economics and technology policy experts said. Controls on finished products may risk hurting U.S. semiconductor exporters and would not stop China from importing those goods elsewhere, they said.
Rep. French Hill, R-Ark., opened up a discussion on a recent report on targeted decoupling based on risk, with a focus on artificial intelligence, at a virtual event at the Center for Strategic and International Studies Oct. 22. Hill said the discussion was "long overdue," and that China's direction is "squarely in conflict with the global order, balance of power in East Asia, and the continued open, market-based trading system."
Japan's September exports plunged due to supply chain pressures, with the growth of overseas shipments dropping 3.9% from August, the Ministry of Finance said. Japan saw its starkest drop in auto exports, essentially wiping out the gains seen from shipments of steel and chip components. Exports rose 13% from September 2020, the report said.
U.S. intervention in the transaction between South Korea’s Magnachip Semiconductor Corp. and Beijing’s Wise Road Capital could set a new precedent for investment reviews and lead to more extraterritorial screening by U.S. trading partners in Europe and elsewhere, lawyers said.
While too early to declare a success, the U.S.-European Union Trade and Technology Council has set both sides on a path toward tangible progress on more export controls and investment screening collaboration, experts said. During the inaugural TTC meeting last week, the U.S. and EU agreed to develop “convergent” export controls and share more information to catch malign foreign investments (see 2109290083), which could result in meaningful changes within the next year, the experts said.
The Bureau of Industry and Security fined a Texas semiconductor component manufacturer nearly $500,000 for illegally exporting controlled wafers to Russia via Bulgaria (see 2012210013), the agency said in a Sept. 28 order. The company, Silicon Space Technology Corporation, which began doing business as Vorago Technologies in 2015, worked with a Russian engineering firm to export “rad-hard 16MB Static Random-Access Memory (SRAM) wafers,” which were controlled under the Export Administration Regulations for spacecraft and related components.
Export Compliance Daily is providing readers with the top stories for Sept. 13-17 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
An investment and research firm expects the Bureau of Industry and Security to issue several proposed rules for export controls related to semiconductors this fall and said BIS is considering other restrictions on certain Chinese technology companies. In a Sept. 17 report, the Cowen Washington Research Group said BIS is “likely” to soon issue several notices of proposed rulemaking to request industry comment on new controls for semiconductor capital equipment, mostly so the U.S. is prepared with new proposals for the next Wassenaar Arrangement cycle.