China reaches WTO against US ban on semiconductor exports

The Asian country is facing a severe crunch in advanced computing and supercomputers

MDDTimes

Unable to recover from the ban on semiconductor exports by the US placed by the Biden administration, China has requested WTO dispute consultations with the US.

China claims the US export control and related measures with respect to certain advanced computing semiconductor chips and manufacturing products, supercomputer items, as well as related technologies and services, destined for or otherwise related to China, go against WTO rules.

The US’ new Commerce Control List (CCL) covers about 2,800 items vs the international export control regime which covers around 1,800 controlled items.

“An export control regime should serve to promote global security and facilitate responsible export with respect to the international commitments of non-proliferation. However, the US abuses its export control regime as a tool to achieve its objectives of maintaining ‘its leadership in science, technology, engineering and manufacturing sectors’,” said China.

“For example, the US implements export control on items for civilian use or on activities of commercial entities, with a view to weaken the scientific and technological development of other WTO Members and to preserve its technology edge.

To achieve these goals, the US has amended the EAR and adopted a series of disruptive measures targeting China’s development in related sectors and in the global semiconductor supply chain.”

By overstretching the extent of export controls and by bullying other WTO Members, the US has caused severe disruption to international trade and risks the disintegration of the global semiconductor supply chain, it added.

The US response is awaited, but observers mentioned the US may use this to bargain with China on its support to Russia while also trying to get closer with China amid a thaw after the Taiwan issue (read Bully China going phut – MDDTimes).

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