US Tightening Shipments to Chip Factories in China Will Slow Beijing’s Advances, Analysts Say

Washington tightened control over tools and know-how that China needs to move beyond the chip technology used in autos, telecom gear, and consumer goods.

A worker holds a 300mm test wafer at the Infineon computer chip factory in Dresden, Germany, on April 26, 2023. Sean Gallup/Getty Images

News Analysis

Washington is closing a loophole that let a handful of foreign-owned chipmakers ship most U.S.-origin tools, software, and technology into their China fabrication plants without licenses—a fast-track privilege no U.S.-owned fab ever had.