In response to heightened national security issues, the United States has blacklisted about 80 international entities. The majority of Taiwanese businesses are suspected of acquiring American equipment to aid in the development of military technologies.
U.S. targets China’s force into AI and supercomputing
According to the U.S. Bureau of Industry and Security, 11 companies with bases in China and one in Taiwan are currently subject to trade restrictions for “investigating in the development of sophisticated AI, mainframes, and high-performance AI bits for China-based end-users with close ties to the government’s military-industrial complex.”
Beijing Innovation Wisdom, Henan Dingxin, Nettrix, Suma Technology, Suma-USI Electronics, and six companies of the Inspur Group are among the companies named. They are currently prohibited from purchasing U.S. products without a government-issued registration.
The Chinese Communist Party’s ability to develop high-performance and exascale technology systems, which can perform complex simulations and analyze huge datasets, as well as quantum technologies and fast weapons, will be restricted by the BIS, according to the BIS.
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In the past, Nettrix and Inspur Group were targeted by U.S. restrictions, but they generally avoided significant operational setbacks. Previous Sugon executive officers with connections to the Chinese government and the Chinese Academy of Sciences founded Nettrix.
The authority of Sugon formed Nettrix using Sugon’s engineering and user base, which included Nvidia, Intel, and Microsoft, essentially allowing the company to continue operating under a new brand, according to The New York Times. By providing producing support, Hanan Dingxin and the two Suma companies have also been linked to Sugon.
Legitimate blunders and flaws are being looked into.
In 2023, the Biden administration also included the family corporation Inspur on the Entity List. But, not long after, U.S. companies like Intel and IBM resumed trading with its affiliates. In a potential try to avoid restrictions, Inspur Electronic Information, which is currently blacklisted as of this week, immediately changed its authorized address to a site just two kilometers away from its parent company.
To help China’s military development, the Beijing Academy of Artificial Intelligence and Beijing Innovation Wisdom were both added to the list for creating large-scale Artificial designs and superior computing cards. U.S. Secretary of Commerce Howard Lutnick stated in a statement that” we will not help adversaries to utilize American technology to support their individual forces and threaten American life.
In a speech to express information bureau Xinhua, the Chinese foreign ministry referred to the new U.S. restrictions as “typical hegemonism.” We urge the U.S. to prevent politicizing, instrumentalizing, and using sci-tech and business dilemmas as weapons, the spokesperson said.
Firms from Iran, Pakistan, South Africa, and the United Arab Emirates were also included on the newly blacklisted companies ‘ listing. The United States aims to stop Iran from acquiring drones and military equipment, and stop Iran from developing its unapproved nuclear and nuclear weapons plans. Also, it attempts to stop the Examine Flying Academy of South Africa from using U.S. technology to teach the Chinese government.
