U.S. Commerce Secretary Gina Raimondo said Chinese companies would definitely be hit hard by the U.S. if they violate sanctions and send American-made semiconductors to Russia. Such a strike would be able to “virtually shut them down.”
Raimondo said all Chinese semiconductor companies rely on US software to manufacture their chips, which puts them under scrutiny. “If we find that they are selling chips to Russia, then we can effectively shut them down by denying them the use of this software, and we are absolutely ready to do that.”
President Joe Biden plans to announce a new package of sanctions on Russian politicians and oligarchs during emergency talks this week in Brussels with European and NATO leaders, US national security adviser Jake Sullivan said Wednesday. The United States and its allies are seeking to increase pressure on Russia over the events in Ukraine.

They are especially concerned about China’s relationship with Russia, that Beijing may provide military assistance to Moscow. Beijing has described the sanctions imposed on Russia as increasingly outrageous, although it has expressed concern about the situation in Ukraine.
Raimondo said the United States is monitoring possible widespread export control violations against Russia “hour by hour, minute by minute” and will crack down on any violations by any country as they arise. When asked if Chinese firms had violated controls so far, Raimondo said no.
Washington expects China to comply because the consequences would be severe and could affect any company, including Chinese semiconductor manufacturer Semiconductor Manufacturing International Corp (SMIC).
Source: ixbt

Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.