Chip cos, top US officials meet on China policy

Senior U.S. chip company executives are holding meetings with Commerce Secretary Gina Raimondo, National Economic Council director Lael Brainard, and National Security Council director Jake Sullivan on Monday to discuss China policy, a source told Reuters.

On Friday, Reuters reported the chief executives of Intel Corp (INTC.O) and Qualcomm Inc (QCOM.O) were planning to visit Washington this week, according to two sources familiar with the matter. The source told Reuters the chip companies, including Nvidia Corp (NVDA.O), are having separate meetings with Biden adminsitration officials Monday.

The Commerce Department declined to comment on any potential meetings. The White House also declined to comment.

Earlier on Monday, the U.S.-based Semiconductor Industry Association trade group called on the Biden administration to “refrain from further restrictions” on chip sales to China.

The Biden administration is considering updating a sweeping set of rules imposed in October to hobble China’s chip industry and a new executive order restricting some outbound investment.

China recently moved to restrict exports of raw materials such as gallium and germanium that are used in making chips.

Further rule-tightening by U.S. officials risks “disrupting supply chains, causing significant market uncertainty, and prompting continued escalatory retaliation by China,” the industry group said.

This report’s information was first seen on REUTERS; to read more, click this link.