Tuesday, 28 April 2020 10:15

US tightens rules for tech exports to China Featured

By
US tightens rules for tech exports to China Image by Todd MacDonald from Pixabay

The US Government has finalised new export restrictions to prevent China from buying technology that can be used to develop weapons, military aircraft or surveillance technology, through civilian supply chains or under the pretense of civilian use.

The restrictions also apply to Russia and Venezuela, but China is quite clearly the main target as it was the main topic of discussion at meetings that thrashed out the details.

US Commerce Secretary Wilbur Ross said on Monday: "It is important to consider the ramifications of doing business with countries that have histories of diverting goods purchased from US companies for military applications.

"Certain entities in China, Russia, and Venezuela have sought to circumvent America’s export controls, and undermine American interests in general, and so we will remain vigilant to ensure US technology does not get into the wrong hands."

One of the changes will get rid of the civilian exemption which allows the export of some items, like field programmable gate array integrated circuits, without a licence. Companies and individuals would in future need a licence for such exports.

A second change would block firms from buying scientific gear like digital oscilloscopes, airplane engines and certain types of computers without a licence, no matter the reason for the purchase.

The final change would make it compulsory for foreign companies who ship some American goods to China to obtain approval from the US Government, apart from their own authorities.

Whether coincidentally or otherwise, on the same day China announced new cyber security rules that will govern the purchase of technology.

The Wall Street Journal reported that the new rules could tilt the balance in favour of local products.

Companies considered to be running critical information infrastructure will have to undergo a review by the Cyberspace Administration of China when they order equipment or services that could affect national security.

The WSJ quoted one analyst from the research firm Gavekal Dragonomics as saying the language used in the rules could pose problems, as it was extremely vague.

Lance Noble, who is based in Beijing, said: “The inclusion of flexible language on which risks are to be guarded against, as well as the pre-existing aim to reduce reliance on foreign technology, will lead [multinational corporations] to worry that this will further complicate their position in the Chinese market.”


BACK TO HOME PAGE

NEW OFFER - ITWIRE LAUNCHES PROMOTIONAL NEWS & CONTENT

Recently iTWire remodelled and relaunched how we approach "Sponsored Content" and this is now referred to as "Promotional News and Content”.

This repositioning of our promotional stories has come about due to customer focus groups and their feedback from PR firms, bloggers and advertising firms.

Your Promotional story will be prominently displayed on the Home Page.

We will also provide you with a second post that will be displayed on every page on the right hand side for at least 6 weeks and also it will appear for 4 weeks in the newsletter every day that goes to 75,000 readers twice daily.

POST YOUR NEWS ON ITWIRE NOW!

INVITE DENODO EXECUTIVE VIRTUAL ROUNDTABLE 9/7/20 1:30 PM AEST

CLOUD ADOPTION AND CHALLENGES

Denodo, the leader in data virtualisation, has announced a debate-style three-part Experts Roundtable Series, with the first event to be hosted in the APAC region.

The round table will feature high-level executives and thought leaders from some of the region’s most influential organisations.

They will debate the latest trends in cloud adoption and technologies altering the data management industry.

The debate will centre on the recently-published Denodo 2020 Global Cloud Survey.

To discover more and register for the event, please click the button below.

REGISTER HERE!

BACK TO HOME PAGE
Sam Varghese

website statistics

Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

BACK TO HOME PAGE

Webinars & Events

VENDOR NEWS

REVIEWS

Comments