A new wave of export controls will be announced soon

According to foreign media reports, the Biden administration plans to announce the latest export restrictions against China next Monday. These measures will further curb China's development in advanced AI and semiconductors, especially for companies related to Huawei. These limitations are expected to focus on high-bandwidth memory (HBM) chips, which are critical for advanced GPU and AI chips.

About 200 China companies may be blacklisted

These new restrictions could add about 200 China companies to the U.S. Commerce Department's Entity List. Companies included on this list will not be able to purchase U.S. software and products directly unless they obtain special licenses. This move will greatly restrict China companies 'access to key technologies and further encourage China to seek domestic alternatives.

Key areas: High-frequency and wide-bandwidth memory chips

The new export restrictions will focus on high-bandwidth memory (HBM) chips, particularly the latest HBM3 technology, which are core components in the AI and GPU fields. The move aims to cut off China's development of advanced AI training and computing capabilities, as these advanced semiconductors are crucial for training large AI models.

Impact on China's AI industry

These export restrictions will pose a major challenge to China's AI industry. China currently relies heavily on advanced semiconductor technology, especially GPUs and memory chips from the United States, when training large-scale AI models. Even if companies such as Huawei continue to upgrade domestic alternatives with the support of local partners such as SMIC in China, these export restrictions will make it more difficult to upgrade their technology.

Impact on the global semiconductor industry

This series of export controls may have a ripple effect on the global semiconductor market. U.S. chip makers such as NVDA will face the risk of declining demand from the China market, especially as China AI companies gradually switch to local technology or other international suppliers. This may affect the global sales performance of companies such as Huida.