US Lawmakers Urge Broader Chip Tool Export Controls Amid $38B China Sales

A bipartisan investigation by the U.S. House Select Committee on China revealed that Chinese companies purchased nearly $38 billion worth of advanced semiconductor manufacturing equipment in 2024, accounting for 39% of combined sales from the top five global suppliers: Applied Materials, Lam Research, KLA, ASML, and Tokyo Electron. Despite U.S. restrictions aimed at limiting China's technological advancement, inconsistencies and loopholes in export controls among the U.S. and its allies, including Japan and the Netherlands, have allowed non-U.S. companies to continue selling chipmaking tools to Chinese firms, some with military ties. The committee called for broader, coordinated export bans and tighter alignment between allied countries to prevent China from gaining critical technology that could enhance its military capabilities and undermine U.S. national security. This escalation in Chinese chip tool purchases reflects a 66% increase from 2022, highlighting the urgency for more comprehensive export control measures. Lawmakers emphasized that selling advanced chipmaking equipment to China not only threatens U.S. technological leadership but also has profound implications for human rights and global democratic values. The report urges expanding restrictions beyond entity-based controls to include country-wide bans, aiming to close gaps exploited by Beijing in the semiconductor supply chain.