U.S. Weighs New Transfer To Limit China’s Access to Chip Innovation

U.S. Weighs New Transfer To Limit China’s Access to Chip Innovation

The Trump administration is weighing new trade restrictions on China that would restrict making use of American chip-making equipment, as it looks for to cut off Chinese access to crucial semiconductor technology, according to individuals knowledgeable about the strategy.

The Commerce Department is drafting changes to the so-called foreign direct product rule, which limits foreign companies’ usage of U.S. innovation for military or national-security products. The changes might allow the agency to require chip factories global to get licenses if they …

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