TECH NEWS – Despite the US government’s increasingly aggressive crackdown on the Chinese Communist Party, the state party still uses chips for military and nuclear purposes, openly naming the manufacturers.
Wall Street Journal reports that the US sanctions have been circumvented by the Chinese state party, which can obtain non-banned technologies from other sources. For example, it can get what it wants from Aliexpress (China’s equivalent of Amazon) and Taobao (eBay’s replacement there). The Chinese Academy of Engineering Physics (CAEP) banned by the US Department of Commerce since 1997, is involved. CAEP uses Intel Xeon processors (CPUs designed for workstations and servers) and Nvidia GeForce RTX video cards in its research and has obtained them from Aliexpress or Taobao, for example.
CAEP is not insignificant, as it helped the Chinese Communist Party with its nuclear program, and they were able to create their first hydrogen bomb. According to the Wall Street Journal, the state party has up to 400 warheads, which could rise to over 1500 in the next 10-15 years. Donald Trump’s and Joe Biden’s administrations have tried to stop the Chinese state party’s nuclear and military research and development, which requires them to use user processors and graphics chips to perform their powerful calculations.
According to Kevin Wolf, a former top US Commerce Department official, “it is insanely difficult to enforce the U.S. restrictions when it comes to transactions overseas,” as CAEP uses equipment and products purchased in 2020 (they should try 2014 hardware!), and among them are Intel processors and Nvidia V100 cards. The Chinese government bought more than a third of the world’s chips for its supercomputers in 2021. A US Bureau of Industry and Security representative explained to Wall Street Journal, “As mass-market products move through multiple parties in global supply chains, full visibility on ultimate end users is a large undertaking.”
CAEP has spoken openly about the technology used, but what can the US authorities do about it…?
Source: WCCFTech
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