Commerce Department Commissions Survey of U.S. Companies to Create Trusted Legacy Chip Supply

Secretary Raimondo and her team have closed out 2023 with welcome action to stem the tide of a China-dominated legacy space. In early December, China Tech Threat commended the Commerce Department for directing the first allocation of CHIPS Act funding to support domestic production of semiconductors. Then, on December 21, the Commerce Department announced that it would commission a survey asking U.S. companies to report how they source legacy chips—the chips which are essential to the functioning of virtually every single electronic device. “Legacy chips are essential to supporting critical U.S. industries, like telecommunications, automotive and the defense industrial base. Addressing non-market actions by foreign governments that threaten the U.S. legacy chip supply chain is a matter of national security,”… Read More

Congress’ Narrow Inquiry into U.S. Investment in China is not a Winning Strategy

Writing in The Washington Times this week, Roslyn Layton examined the current inconsistencies in the United States’ regulatory approach towards curbing investment in Chinese military proxies. As we covered recently, President Biden issued an executive order that would require “U.S. firms to notify the federal government if they invest in some lower-end semiconductor production not already covered by export controls.”  In Congress, the U.S. House Select Committee on the Chinese Communist Party sent letters to financial firms BlackRock and MSCI this month, notifying their CEO’s that the Committee was investing the companies’ investments into certain Chinese companies. The letter states “Americans are now unwittingly funding PRC companies” that develop technologies for the People’s Liberation Army (PLA). Layton notes that this… Read More