The Battle Over Chips Heats Up in the Escalating U.S.-China Tech War

The Battle Over Chips Heats Up in the Escalating U.S.-China Tech War

When the U.S. tightened restrictions on Huawei’s access to semiconductor chips last week, the Trump administration’s goal became clear, if it wasn’t already: kneecap the Chinese telecom giant’s technological advancement. Under a previous round of U.S. trade restrictions in May, Huawei was blocked from using American technology to make its own semiconductors, but the company found workarounds by obtaining chips designed by third parties. The latest round bars 38 Huawei affiliates from access to advanced U.S. technology without a special license. Even foreign companies will need licenses to sell chips to Huawei if their manufacturing processes contain U.S. software or technology.