US curbs chip design software, chemicals, other shipments to China [View all]
Source: Reuters
May 29, 2025 6:03 AM EDT Updated 10 hours ago
May 29 (Reuters) - The United States has ordered a broad swathe of companies to stop shipping goods to China without a license and revoked licenses already granted to certain suppliers, said three people familiar with the matter. The new restrictions - which are likely to escalate tensions with Beijing - appear aimed at choke points to prevent China from getting products necessary for key sectors, one of the people said.
Products affected include design software and chemicals for semiconductors, butane and ethane, machine tools, and aviation equipment, the people said. Many companies received letters from the U.S. Department of Commerce over the last few days informing them of the new restrictions.
Firms that supply electronic design automation (EDA) software for semiconductors were sent letters last Friday that licenses would now be needed to ship to Chinese customers, two of the sources said. The electronic design automation software makers include Cadence (CDNS.O), Synopsys (SNPS.O), and Siemens EDA, a subsidiary of Siemens (SIEGn.DE), one said.
The two sources said the Commerce Department will review requests for licenses to ship to China on a case-by-case basis, suggesting the action was not an outright ban. It is unclear whether the new restrictions are part of a broader strategy to create leverage for trade talks during a pause in the imposition of higher tariffs.
Read more: https://www.reuters.com/world/china/trump-tells-us-chip-designers-stop-selling-china-ft-reports-2025-05-28/
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