Semiconductor Exports to Russia Said to Have Plunged by 90 Percent After Curbs Following Ukraine Invasion

The US has also threaten to "shut down" China's top chipmaker SMIC if it is found to be supplying chips to Russia.

By Reuters | Updated: 30 June 2022 03:30 IST

Semiconductor Exports to Russia Said to Have Plunged by 90 Percent After Curbs Following Ukraine Invasion

The US has worked with allies to punish Russia for Ukraine invasion

Highlights

Russia be forced to ground between half and two-thirds of its aircrafts
The US sanctioned a raft of Russian companies and oligarchs to blacklist
Washington has vowed to closely monitor China's compliance

Global exports of semiconductors to Russia have plummeted by 90 percent since the United States and allies slapped export controls on Moscow over its invasion of Ukraine, US Commerce Secretary Gina Raimondo said on Wednesday.

Raimondo, speaking at an annual Commerce Department conference, also said that controls placed on Russia's aerospace sector were hammering its ability to generate revenue and support military aviation.

"Russia may be forced to ground between half and two-thirds of its commercial aircraft in the next four years in order to cannibalize them for spare parts," she added.

The remarks came a day after US President Joe Biden's administration added five companies in China to a trade blacklist on Tuesday for allegedly supporting Russia's military and defense industrial base, flexing its muscle to enforce sanctions against Moscow.

The United States has worked with allies to punish Russian President Vladimir Putin for the invasion, which Moscow calls a "special operation", by sanctioning a raft of Russian companies and oligarchs and adding others to a trade blacklist.

While US officials had previously said that China was generally complying with the restrictions, Washington has vowed to closely monitor compliance and rigorously enforce the regulations.

On Wednesday, Raimondo also doubled down on threats to "shut down" China's top chipmaker SMIC if it is found to be supplying chips to Russia.

"What if SMIC or other Chinese-based semiconductor companies are found supplying chips to Russia?" she said. "We will shut them down and we can, because almost every chip in the world and in China is made using US equipment and software and I intend to make good on that commitment if it's necessary."

© Thomson Reuters 2022

Will Snapdragon's new 2022 chips make it more prominent as a brand? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

Affiliate links may be automatically generated - see our ethics statement for details.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.