07:52 AM EDT, 03/25/2024 (MT Newswires) -- Intel ( INTC ) and Advanced Micro Devices ( AMD ) shares were down more than 4% and 3% respectively in Monday's premarket trading following news of tightened Chinese rules on microchip imports.

Chinese regulators have issued new restrictions meant to phase out foreign-made microchips, the Financial Times reported on Monday.

China wants to reduce the use of hardware powered by American chips at government institutions, the FT said.

The rules on microprocessor procurement, along with efforts to discourage the use of Microsoft's ( MSFT ) Windows operating system and other imported software, are meant to spur the adoption of Chinese options, the report said.

The FT said the rules were first issued in December.

Intel ( INTC ), AMD, and Microsoft ( MSFT ) did not immediately reply to MT Newswires' requests for comment.

Price: 40.78, Change: -1.79, Percent Change: -4.2