China targets US analog chips in counter to Trump move on SMIC-linked firms

On Saturday, China’s Ministry of Commerce kicked off an anti-dumping investigation into American analog integrated circuit chips, accusing U.S. companies of selling at unfairly low prices.

That same day, a second investigation was launched over what Beijing called discriminatory U.S. actions against Chinese semiconductor firms.

The announcement came less than 24 hours before Chinese and American trade officials are set to meet in Madrid, Spain. China said the timing was based on complaints from local chipmakers who claim they’ve been “materially damaged” by U.S. exporters.

The chips in question, analog ICs, are essential components found in electronics, cars, telecom gear, and industrial systems. These parts convert sound, light, and temperature into data that devices can use.

The ministry said the investigation will run for one year, though it could extend further if needed. “This probe will determine if dumping occurred and how badly it hurt local producers,” the statement said.

China also confirmed that U.S. exporters and Chinese importers will be allowed to submit evidence and comment during the investigation.

Trump expands blacklisting of SMIC-linked Chinese firms

On Friday, the U.S. escalated its restrictions by blacklisting 32 new entities, most of them in China. This includes two Chinese firms, GMC Semiconductor Technology (Wuxi) Co and Jicun Semiconductor Technology, that were added to the Commerce Department’s Entity List.

Washington claims these companies acquired U.S. chipmaking equipment on behalf of SMIC Northern Integrated Circuit Manufacturing (Beijing) Corp and Semiconductor Manufacturing International (Beijing) Corporation.

Both SMIC units were already on the list. The U.S. says any sale of chipmaking gear to them requires a license, and those licenses would likely be denied. The Federal Register notice cited national security concerns and China’s push for tech independence as key factors behind the decision.

Also added to the Entity List was Shanghai Fudan Microelectronics Technology Co, along with several linked firms in Singapore, Taiwan, and across China.

The Commerce Department said these groups were obtaining U.S.-origin tech “in support of China’s military modernization” and for use by “the military, government, and security services.”

Washington also accused Fudan Microelectronics of providing technology to Russian military users. As a result, the firm was hit with additional restrictions, beyond those normally triggered by an Entity List designation.

More countries and regions added to U.S. trade blacklist

Friday’s posting wasn’t limited to just Chinese firms. It also targeted companies in India, Iran, Turkey, and the United Arab Emirates. While specific details on those additions weren’t released, the total number of entities added stood at 32, with 23 located in China alone.

This comes as geopolitical pressure mounts over control of the global chip supply chain. The U.S. continues to block China’s access to high-end chipmaking tools, citing security risks.

In return, China is tightening its own rules and pushing hard to build up its domestic chip industry. The anti-dumping probe and anti-discrimination investigation show that Beijing is going on offense.

For U.S. chipmakers, this move from Beijing injects more uncertainty into a key market. China remains one of the largest buyers of semiconductors worldwide. A prolonged investigation could affect pricing, licensing, and long-term deals between American producers and Chinese clients.

The analog IC market is strategic. These chips are foundational for real-world sensing in everything from smart homes to military tech. That’s part of why both sides are going after each other’s supply chains. With Beijing claiming its firms are being unfairly treated, and Washington accusing China of backdoor tech transfers, the tech war is spilling into regulatory warfare.

As of now, China has not said when the results of the anti-dumping probe will be made public. But with SMIC-linked firms back in the spotlight and Fudan Microelectronics tied to Russian defense buyers, the fallout could stretch well beyond Madrid’s negotiation table.

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