Japan is set to tighten controls on the export of advanced semiconductor production gear to China, as a result of changes to its foreign exchange law, according to a report by Kyodo News on Saturday. The restrictions are expected to come into effect in the spring.
The regulation will not name China specifically to avoid the potential for retaliation from Beijing, according to the report, which did not specify its source.
Japan and the Netherlands have agreed to join forces with the United States to stop the shipment of semiconductor manufacturing equipment made by companies such as Nikon Corp and ASML Holdings. The goal is to prevent China from developing advanced chips that could be used to enhance its military capabilities, according to sources who confirmed previous media reports.
Only the United States has confirmed the existence of the agreement, but it has yet to reveal any information on which equipment will be subject to restrictions.
