The "BIS October 2022 rules" refers to the interim final rule published by the U.S. Department of Commerce's Bureau of Industry and Security (BIS) on October 7, 2022, amending the Export Administration Regulations (EAR) to impose unprecedented controls on the transfer of advanced computing chips, supercomputing items, and semiconductor manufacturing equipment to the People's Republic of China.
The rule package introduced several distinct mechanisms:
- New ECCNs and performance thresholds controlling advanced logic chips (broadly, those at or below 14/16nm or meeting specified compute/interconnect thresholds), high-bandwidth memory, and related software.
- An expanded Foreign Direct Product Rule (FDPR) specifically targeting advanced computing and supercomputer end uses in China, capturing foreign-made items produced with U.S. technology.
- New end-use controls restricting items destined for facilities in China that develop or produce advanced ICs or supercomputers, regardless of the item's classification.
- A novel restriction on "U.S. persons" supporting the development or production of certain ICs at China-located fabs without a license — sometimes called the "U.S. persons rule."
- Additions to the Entity List and creation of a new "Unverified List" pathway tying inability to conduct end-use checks to eventual Entity List designation.
The rules were aimed at degrading China's ability to produce or acquire chips used in advanced weapons systems, mass surveillance, and frontier AI training. They were tightened on October 17, 2023, narrowing performance thresholds (notably affecting NVIDIA's A800/H800 workarounds), adding new countries of concern, and refining the licensing framework.
The measures reshaped global semiconductor trade, prompted compliance overhauls at firms like ASML, TSMC, Applied Materials, Lam Research, and KLA, and were partially echoed by export controls adopted by the Netherlands and Japan in 2023. Beijing condemned the rules as "tech containment" and filed a WTO consultation request in December 2022.
Example
In October 2022, BIS used the new rules to require NVIDIA to obtain licenses before exporting its A100 and H100 GPUs to Chinese customers, prompting the company to design the lower-performance A800 and H800 variants.
Frequently asked questions
The Bureau of Industry and Security (BIS), part of the U.S. Department of Commerce, under authority of the Export Control Reform Act and the Export Administration Regulations.
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