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US blacklists 5 Chinese supercomputing groups

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The United States has blacklisted five Chinese organizations involved in supercomputing with military-related applications, citing national security as justification for denying its Asian geopolitical rival access to critical US technology.

The move Friday by the US Commerce Department could complicate talks next week between President Donald Trump and his Chinese counterpart, Xi Jinping, aimed at de-escalating a trade dispute between the world’s two biggest economies.

The five blacklisted organizations placed on the so-called Entity List includes supercomputer maker Sugon, which is heavily dependent on US suppliers including chipmakers Intel, Nvidia and Advanced Micro Devices.

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The other four are the Wuxi Jiangnan Institute of Computing Technology and three Sugon affiliates. The Commerce Department called their activities “contrary to the national security and foreign policy interests of the United States.”

Sugon and the Wuxi Jiangnan Institute, which the US said is owned by a Chinese army research institute, are involved in China’s push to develop next-generation “exascale” high performance computing to assist with military modernization.

The technology involved supports such military-related tasks as running nuclear simulations, calculating missile trajectories and hypersonic algorithms, said Paul Triolo, technology analyst with the global risk-assessing Eurasia Group.

 

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