US bars ‘advanced tech’ firms from building China factories for 10 years

File Photo The American and Chinese flags wave at Genting Snow Park ahead of the 2022 Winter Olympics, Feb. 2, 2022, in Zhangjiakou, China. Photo Courtesy: AP

Kathmandu: US tech companies that receive federal funding will be barred from building “advanced technology” facilities in China for 10 years.

As reported by the BBC, the guidelines were unveiled as part of a $50 billion plan aimed at building up the local semiconductor industry.

It comes as business groups have pushed for more government support in an effort to reduce reliance on China.

They are faced with a global microchip shortage which has slowed production.

The US and China are locked in a long-running dispute over trade and technology.

(News Source: BBC)