White House ban number of American companies from selling technology to China

By Alimat Aliyeva

The administration of U.S. President Donald Trump imposed a ban on several American companies from selling goods to China.

According to sources, the U.S. government is reviewing exports that are considered strategically important to China. In some cases, the Department of Commerce suspended export licenses or introduced additional licensing requirements during the review process.

As the Financial Times reports, the Trump administration demanded that American companies providing software used in semiconductor design stop offering their services to Chinese clients.

Specifically, the U.S. Department of Commerce instructed electronic design automation (EDA) companies — including Cadence, Synopsys, and Siemens EDA — to halt the supply of their technology to China. These firms play a critical role in the global semiconductor supply chain, as their software is essential for designing and simulating advanced microchips.

Without access to EDA tools, Chinese semiconductor manufacturers are unable to design chips using the most advanced process nodes, such as 5nm or 3nm. This restriction could significantly hinder China’s ambitions to become self-sufficient in high-tech industries and delay progress on its "Made in China 2025" initiative — a strategic plan aimed at achieving global leadership in cutting-edge technologies.

Experts note that these export controls are part of a broader U.S. strategy to curb China’s technological rise in sectors such as semiconductors, artificial intelligence, and quantum computing.