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U.S. Department of Commerce Sanctions Seven Chinese Supercomputer Firms | Dorsey & Whitney LLP


Sunway Microelectronics; and
Tianjin Phytium Information Technology.
Because of these designations, exports and transfers of most items with significant U.S. content to these Chinese firms will now require a BIS export license under the U.S. Export Administration Regulations (“EAR”).  In its April 8 announcement, BIS also said that it will consider any export license applications for these entities with a presumption of denial.
According to the BIS announcement, the seven listed firms supply China’s military with technology that can be used in the development of weapons of mass destruction and hypersonic weapons.  The Biden Administration believes that some of that work may depend on the use of advanced semiconductors designed or made with U.S. origin software or other technology.  However, much of that semiconductor fabrication takes place at a leading third country semiconductor foundry.  The effectiveness of these new Entity List sanctions will then largel ....

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US Blacklists 7 Chinese Supercomputer Entities


US Blacklists 7 Chinese Supercomputer Entities
May 5, 2021
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Citing national security concerns, the U.S. Department of Commerce this week placed seven Chinese supercomputer organizations on the Entity List, which effectively bars them from receiving supplies or components from American companies.
Commerce Secretary Gina M. Raimondo notes that the high-performance computing technologies developed by these entities could be used in weapons of mass destruction programs.
Supercomputing capabilities are vital for the development of many - perhaps almost all - modern weapons and national security systems, such as nuclear weapons and hypersonic weapons, Raimondo says. The Department of Commerce will use the full extent of its authorities to prevent China from leveraging U.S. technologies to support these destabilizing military modernization efforts. ....

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