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      China Slams U.S. Global Ban on Advanced Chinese Computing Chips, Warns of Legal Risks

      TMTPOST -- China on Wednesday morning local time issued a serious warning against the latest U.S. global ban on Chinese chips to the world.

      Credit:Adobe Stock

      The U.S. attempt to globally ban advanced Chinese computing chips is a typical example of "unilateral bullying and protectionism" , which severely undermines the stability of the global semiconductor industrial chain and supply chain, deprives other countries of their right to develop high-tech such as high-performance computing chips and artificial intelligence ( AI ) , a spokesperson for China's Ministry of Commerce ( MOFCOM ) said.

      The spokesperson commented on the guideline that U.S. Department of Commerce issued recently, noting that China believes it attempts to launch a worldwide ban on Chinese advanced computing chips, including specific Huawei Ascend chips, citing so-called presumed violations of U.S. export controls. China believes that the U.S. abuses export controls to contain and suppress Chinese companies violates international law and basic norms of international relations, seriously harms the legitimate rights and interests of Chinese companies, and damages China's development interests, said the spokesperson.

      The spokesperson stressed the U.S. ban is suspected of constituting discriminatory restrictive measures against Chinese companies. Any organization or individual enforcing or assisting in the enforcement of these U.S. restrictions will risk violating the Anti-Foreign Sanctions Law and other Chinese laws and regulations, and shall bear corresponding legal liabilities, according to the spokesperson.

      Underscoring innovation-driven development and win-win cooperation are the prevailing trend, the spokesperson urged the U.S. to to immediately correct its wrong practices, abide by international economic and trade rules, and respect the rights of other countries to develop science and technology.

      China supports international companies in furthering scientific and technological cooperation in accordance with market principles to achieve mutual benefit and win-win results, and jointly promoting scientific and technological innovation for the benefit of people around the world, said the spokesperson. The person said China is closely monitor enforcement of the U.S. ban and will take resolute measures to safeguard its legitimate rights and interests.

      China ’ s commerce ministry on Monday has condemned the U.S. for abusing export control measures targeting Chinese chip products, urging the country to immediately correct its wrongdoings and cease discriminatory measures against China, the state news agency Xinhua reported.

      China believes that the revised announcement from the U.S. Department of Commerce in essence still contains discriminatory measures and will distort the market, a MOFCOM spokesperson commented on the announcement on Monday. China firmly opposed the U.S. move as it has abused its export control measures and imposed stricter restrictions on Chinese chip products based on unfounded allegations, according to the spokesperson.

      The spokesperson warned that the U.S. protectionist actions to contain and isolate other countries will ultimately undermine the competitiveness of American industry, and accordingly will only shoot itself in the foot.

      The spokesperson called for the U.S. to work with China to jointly safeguard the consensus reached in the high-level talks in Geneva, and promote the building of sustainable, long-term and mutually beneficial bilateral economic and trade relations. If the United States continues to cause China substantive harm, China will take resolute measures to defend its legitimate rights and interests, the spokesperson said.

      The spokesperson made the remarks after the Bureau of Industry and Security ( BIS ) under the U.S. Commerce Department updated its statement about actions to strengthen export controls for overseas AI chips. The BIS previously said in the statement that it issued a guidance that "using Huawei Ascend chips anywhere in the world violates U.S. export controls", while it later said the guidance aims to alert "industry to the risks of using PRC advanced computing ICs, including specific Huawei Ascend chips."

      Under the BIS guidance, three Huawei Ascend AI chip models, ranging from Ascend 910B, 910C to the most advanced 910D, were placed on a list of PRC 3A090 ICs subject to the presumption that General Prohibition 10 ( GP10 ) restrictions apply. There is a high probability that a BIS authorization was required for the export, reexport, transfer ( in-country ) , or export from abroad of any PRC 3A090 IC or related technology, unless such authorization was obtained, the guidance said.

      Therefore, BIS is notifying all persons and companies in and outside U.S. that engaging in GP10 activities including use of PRC 3A090 ICs, such as the listed Huawei chips, without BIS authorization, could result in substantial criminal and administrative penalties, up to and including imprisonment, fines, loss of export privileges, or other restrictions.

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