China Export Curbs To Hit U.S. Companies

Commerce Secretary Gina Raimondo said that the Biden administration is seeking to carefully target US controls on exports to China, but rules will cost firms some revenue, David Shepardson reported for Reuters.

Photo Insert: China is Tesla's top market, only coming behind North America.

Restrictions should not be so broad "that you deny American companies revenue and China can get the product elsewhere, or China can get the product from other countries," Raimondo said.

Rules "will deny some revenue to American companies, but we think it's worth it." Last year, China accounted for $180 billion in semiconductor purchases, close to a third of the worldwide total of $574.1 billion and the largest single market, according to the Semiconductor Industry Association.

Last week, US chip company executives met with top Biden administration officials, including Raimondo, to discuss China policy, as the most powerful semiconductor lobby group urged a halt to more curbs under consideration.

Raimondo said the administration is meeting with companies "to get to the right place so we don't damage American business but quite frankly protect US national security."

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