U.S. delays adding Chinese AI startups, memory chip makers, and over 100 other companies to trade blacklist

Reuters cited sources saying the U.S. has delayed adding Chinese artificial intelligence startups, memory chip manufacturers, and more than 100 other companies deemed to pose national security risks to the trade blacklist, as the Trump administration seeks to avoid escalating tensions with Beijing.

The report noted that last year, a interagency committee approved adding Chinese companies to the U.S. Department of Commerce’s Entity List. Under regulations, U.S. firms are prohibited from shipping goods, software, and technology to entities on the list without permission—and such licenses are highly likely to be denied.

Philip Leck, an expert at Washington's Center for Strategic and International Studies, said no new entities have been added to the Entity List since October last year, marking the longest gap in over a decade. Sources revealed that since late 2025, Jeffrey Kessler, Deputy Secretary of the Department of Commerce for Industry and Security, has been trying to avoid adding Chinese entities to the list, fearing it would further escalate U.S.-China tensions.

Reuters pointed out that decisions on whether to place an entity on the list are made by an interagency committee comprising officials from the Commerce Department, Defense Department, Energy Department, State Department, and sometimes Treasury Department officials. However, sources said the committee has already approved adding certain companies to the list, though the Commerce Department has not yet announced them.

According to sources, at least 75 Chinese entities involved in advanced semiconductor production, semiconductor manufacturing equipment, and AI modeling have already undergone review by the committee and were originally slated to be placed on the blacklist.

China has repeatedly clarified its position on the matter. China’s Foreign Ministry spokesperson previously stated that facts have proven that “small yard, high wall” strategies cannot stop China’s pace of innovation and development, nor are they conducive to healthy growth across the entire industry—including American businesses. The U.S. should abide by market economy and fair competition principles, and support enterprises from all countries advancing technological progress through healthy competition.

Source: sputniknews

Original: toutiao.com/article/1868216584736791/

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