The US Commerce Department’s efforts to curb China’s and Russia’s access to American-made advanced computer chips have been deemed “inadequate” by a Senate report. The Biden administration imposed export controls after Russia’s invasion of Ukraine, but the agency lacks resources to enforce these rules.
According to the report, the Bureau of Industry and Security relies heavily on US chip makers voluntarily complying with export controls, rather than enforcing them independently. The agency’s budget of $191 million has remained flat since 2010, despite growing concerns about national security.
The Senate subcommittee found that Russia is continuing to acquire components from Texas Instruments through front companies in Hong Kong, while China has created “vast, barely disguised smuggling networks” to evade export controls. These networks allow Chinese companies to harness US technology without facing consequences.
To address these issues, the committee recommends increasing funding for hiring additional personnel, imposing larger fines on violating companies, and requiring periodic reviews of advanced chip companies’ export control plans. The Commerce Department has 11 export control officers worldwide, but this number is insufficient given the growing threat from Russia and China.
Source: https://apnews.com/article/china-russia-semiconductors-export-controls-advanced-chips-5b1bd1748d74a7e45dd0c91979215ef3