The Biden Administration has taken its first trade action against China, adding seven Chinese supercomputing firms to its export blacklist.
The U.S. Commerce Department says the companies added to the Entity List, are building supercomputers used by China's military actors, helping its destabilizing military modernization efforts, and/or producing weapons of mass destruction programs.
The firms are known to be key players in Beijing's plan for chip self-sufficiency.
The seven entities are now required to obtain licenses to access American tech, but will still be able to use non-U.S. chip manufacturers.