"US Considers 'Semiconductor Export Restrictions' on Russia"

[Asia Economy New York=Special Correspondent Joselgina] The Biden administration in the United States will impose broad semiconductor export restrictions against Russia if its invasion of Ukraine materializes, Axios reported on the 2nd (local time).

This is part of the economic sanctions against Russia. The Biden administration plans to apply these regulations not only to semiconductor chips produced in the U.S. but also to semiconductors produced overseas using U.S. equipment, tools, software, and designs.

A White House official stated, "The semiconductor sanctions could target all of Russia or be more narrowly focused on specific industries," adding, "We are focusing on areas that Russian President Vladimir Putin has said are strategically important, such as artificial intelligence (AI) and quantum computing."

Considering the influence of U.S. technology in the semiconductor chip manufacturing supply chain, the impact of the sanctions is expected to be significant. The official assessed, "Over time, Russia's production capacity will shrink." However, there is also an analysis that it could negatively affect U.S. companies in the long term. Axios reported that the Biden administration is concerned that overseas companies may move to reduce their dependence on U.S. technology.

Ed Mills, a policy analyst at Raymond James, said, "Semiconductors are the new weapon," and evaluated, "If you can block a country's access to semiconductors, you can eliminate that country's ability to operate a modern economy." Robert Atkinson, chairman of the U.S. Information Technology and Innovation Foundation, said, "(Semiconductor export sanctions) can be a powerful weapon that makes Putin think twice," but also mentioned, "The more you use a weapon, the less effective it may become. It will send a clear message to many countries and companies not to rely on America's whims."

This content was produced with the assistance of AI translation services.