A U.S. semiconductor industry association has called for multilateral chip equipment export controls to rectify the disadvantage to South Korean rivals and those in other countries imposed by current regulations.
According to the U.S. government gazette on Wednesday, the Semiconductor Industry Association(SIA) made the call in its letter sent to the Bureau of Industry and Security(BIS) under the Commerce Department on January 17.
The SIA claimed in the letter that the U.S. export controls on chip equipment are more complex and comprehensive than those of its allies, putting domestic companies at a disadvantage.
The group took issue with the inability to export any manufacturing equipment to China regardless of inclusion in controls if it is used in the production of advanced semiconductors, and service for equipment that has already been sold cannot be provided.
The SIA then noted that rivals from Japan, South Korea, Taiwan, Israel, and the Netherlands may export equipment not subject to list-based controls to high-tech semiconductor factories in China, and can also provide maintenance services.
The association argued that revenue for non-U.S. competitors earned as a result of Washington’s unilateral controls is invested in research and development efforts that could ultimately lead to the erosion of the U.S.’ leadership in the semiconductor sector.
The SIA urged the U.S. government to persuade its allies to introduce their own export controls, proposing new multilateral chip equipment guidelines under which the U.S. and other chip producers regulate the same items and follow the same permit procedures.