US Lawmakers Look to Bar Chips Act Winners From Using Chinese Tools
- Intel, TSMC would be unable to buy Chinese gear for US plants
- China has been building up its own chip-equipment industry
The Chips Act set aside $39 billion in grants to revitalize the domestic industry after decades of production shifting to Asia.
Photographer: James Park/BloombergThis article is for subscribers only.
US lawmakers want to prevent companies that win federal chipmaking funds from using Chinese-made equipment at government-backed factories, part of efforts to limit Beijing’s influence on domestic chip production.
Under a bipartisan bill introduced Tuesday, companies such as Intel Corp. and Taiwan Semiconductor Manufacturing Co. would be barred from buying chipmaking gear from entities owned or controlled by China, as well as Russia, North Korea and Iran. The ban would apply only to US facilities supported by funds from the 2022 Chips and Science Act, not to manufacturers’ overseas operations.