BEIJING, Dec 3 (Reuters) - Chinese companies should be
wary of buying U.S. chips as they are "no longer safe" and buy
locally instead, four of the country's top industry associations
said on Tuesday in a rare coordinated response to Washington's
curbs.
The associations cover some of China's largest industries,
including telecommunications, the digital economy, autos, and
semiconductors.
Their advice could impact U.S. chipmaking giants like Nvidia ( NVDA )
, AMD, and Intel ( INTC ) that, despite export
controls, have managed to keep selling their products in the
Chinese market.
The associations did not go into details on why U.S. chips
were unsafe or unreliable.
The Internet Society of China urged domestic companies to
think carefully before procuring U.S. chips and seek to expand
cooperation with chip firms from countries and regions other
than the United States, according to its official WeChat
account.
It also encouraged domestic firms to "proactively" use chips
produced by both domestic and foreign-owned enterprises in
China.
U.S. chip export controls have caused "substantial harm" to
the health and development of China's internet industry, it
added.
The warnings came after the United States on Monday launched
its third crackdown in three years on China's semiconductor
industry, curbing exports to 140 companies, including chip
equipment maker Naura Technology Group.