US Blacklists Four Chinese Companies over AI Chip Allegations, Escalating Tensions with China

The US Commerce Department has recently blacklisted four Chinese companies on allegations of supplying artificial intelligence chips to China’s military modernization programs. This move has escalated tensions between the US and China, with the companies being among 11 new additions to the Commerce Department Entity List this week. The list serves as a tool to prevent sensitive American goods and technology from reaching unauthorized hands.

In addition to the blacklisted companies, the US has imposed strict restrictions on the shipment of advanced semiconductors and chip-making equipment to China in an effort to safeguard American technology from being used in China’s military advancements. Being placed on the Entity List makes it significantly challenging for these companies to acquire American goods and technology.

China has denied the allegations, with Foreign Ministry spokesperson Mao Ning accusing the US of trying to “contain and suppress” Chinese companies and promising to take necessary action to protect its interests. The US has also restricted exports to five additional companies, including a Chinese firm, Jiangxi Xintuo Enterprise Co, allegedly aiding Russia’s drone program, and a network of companies providing drone components to Iran. China has criticized these actions, arguing that they disrupt normal economic cooperation with Russia.