The Trump administration has imposed new export controls on electronic design automation (EDA) software to restrict China’s ability to develop advanced AI chips. Major companies like Siemens EDA, Cadence Design Systems, and Synopsys have received notifications from the U.S. Commerce Department regarding these controls, which require licenses for exports. This regulatory push emerges amid intensified competition for AI supremacy, but it risks damaging the U.S. semiconductor industry's long-standing market presence in China, with firms like Nvidia reporting substantial losses from similar restrictions.
Siemens has supported customers in China for more than 150 years and will continue to work with our customers globally to mitigate the impact of these new restrictions while operating in compliance with applicable national export control regimes.
Cadence also received a notice from the BIS saying a license is now required for the export, re-export or in-country transfer of electronic design automation software to customers in China.
The new export rules come as the U.S. ramps up its efforts to hinder Chinese companies as the battle for AI supremacy heats up.
U.S.-based Synopsys, which also makes EDA software, said on Thursday that it had also received a similar letter from the BIS. The company also suspended its forecast for the third quarter and full-year 2025.
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