U.S. Lawmakers Push for Broader Chipmaking Export Bans on China
U.S. lawmakers are urging stronger restrictions on chipmaking equipment exports to China. The call comes after a bipartisan investigation found that Chinese chipmakers bought $38 billion worth of advanced tools last year.
According to a report released on Tuesday by the House Select Committee on China, gaps between export rules in the United States, Japan, and the Netherlands have allowed non-U.S. companies to sell equipment to Chinese firms that American suppliers could not.
The committee recommended that Washington and its allies impose broader export bans covering all chipmaking tools, rather than targeting specific Chinese companies.
Last year’s $38 billion in equipment purchases came from five major semiconductor toolmakers — Applied Materials, Lam Research, KLA, ASML, and Tokyo Electron. These sales were legal but marked a 66% increase from 2022, when many of the initial export restrictions were introduced. The figure represented nearly 39% of the total sales for these five suppliers, the report said.
“These sales have made China more competitive in producing a wide range of semiconductors, with serious consequences for global security and democratic values,” the committee warned.
Bipartisan Concern Over China’s Chip Ambitions
Both Republican and Democratic administrations have sought to curb China’s ability to manufacture advanced chips. Semiconductors are critical for fields like artificial intelligence and military modernization, fueling the ongoing U.S.–China tech rivalry.
Industry leaders acknowledge the impact of these policies. Mark Dougherty, president of Tokyo Electron’s U.S. division, said sales to China have started to decline this year due to tighter regulations. He also welcomed stronger coordination between Washington and Tokyo.
ASML and KLA declined to comment, while Applied Materials and Lam Research did not respond to requests for statements. The committee noted that all five toolmakers cooperated with its investigation and were briefed on its findings.
Security Concerns Over Chinese Chip Firms
Three Chinese companies — SwaySure Technology, Shenzhen Pengxinxu Technology, and SiEn (Qingdao) Integrated Circuits — were identified as key buyers of chipmaking tools. U.S. officials consider them potential national security risks due to alleged links to a Huawei support network.
These firms were added to a U.S. export blacklist in December. The report also recommended tighter restrictions on tool components, preventing China from developing its own domestic manufacturing capabilities.
“China is trying to rewrite the global semiconductor supply chain,” said Craig Singleton, senior fellow at the Foundation for Defense of Democracies. “Even niche tool sectors have become new battlegrounds.”
