US stops exports of tools to China’s number two chip maker — Hua Hong and Huali Microelectronics reportedly on the cusp of starting a 7-nm fab in Shanghai

The US Department of Commerce has instructed toolmakers to cease exports to Hua Hong, China's second-largest chipmaker, which is gearing up to establish a 7-nm production line in Shanghai. This move is part of the US strategy to impede China's semiconductor self-sufficiency efforts. Companies like TSMC and ASML have also faced restrictions in providing advanced services to Chinese tech firms. The ban on exports could strain US-China relations, impacting both Chinese companies' progress and potential losses for American toolmakers.