The U.S. Commerce Department released a guideline disallowing the export of the world's most sophisticated chips to subsidiaries of Chinese firms outside China, Reuters reported Sunday.
The guidance closes a potential gap that allowed Chinese companies access to the U.S.'s most advanced AI chips, such as Nvidia's Blackwell processors, the newswire said.
The guidelines came out after a paper regarding the loophole circulated that said "the floodgates have quietly opened," Reuters said.
"BIS will continue to enforce export controls rigorously to safeguard critical American technology," the newswire quoted a bureau spokesperson as saying.
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