Core Viewpoint - A group of U.S. lawmakers is urging the government to strengthen export restrictions on wafer fabrication equipment (WFE) to China, proposing a near-total ban on the sale of chip manufacturing equipment to China, except for equipment that can be produced domestically in China [1][3]. Group 1: Legislative Actions - The group, led by House China Task Force Chairman John Moolenaar and House Foreign Affairs Committee Chairman Brian Mast, has submitted a letter to Secretary of State Marco Rubio and Secretary of Commerce Howard Lutnick, calling for stricter limitations on semiconductor production equipment exports to China and diplomatic efforts to encourage allies to follow suit [3]. - Current regulations require U.S. companies to obtain export licenses to ship wafer fabrication equipment to entities in China, with restricted equipment including those used for manufacturing 14nm/16nm logic chips, 18nm DRAM production, and 128-layer or more 3D NAND manufacturing [3]. Group 2: Regulatory Gaps - Lawmakers believe existing controls have loopholes, as certain critical equipment, such as ASML's advanced lithography systems and TEL's high-end etching and deposition equipment, are only restricted when sold to specific Chinese entities, lacking a comprehensive ban across China [4]. - Once equipment enters China, subsequent regulation becomes challenging, as verification requires approval from Chinese authorities, which can take weeks or months, allowing companies like SMIC to continue advancing their manufacturing processes [4]. Group 3: Proposed Measures - The letter urges the U.S. government to work with allies to implement comprehensive export controls on critical semiconductor manufacturing equipment and components that cannot be produced in China, with a clear timeline for achieving these goals [4]. - It also suggests tightening regulations on maintenance services for wafer fabrication equipment, as currently approved purchasers of restricted advanced equipment can still receive maintenance support, which is essential for the equipment's operational lifespan [4]. Group 4: Urgency and Collaboration - The letter concludes that the window for the U.S. to maintain its semiconductor advantage is narrowing, requesting a briefing within a month on strategies to implement comprehensive controls on semiconductor manufacturing equipment and components to China, emphasizing bipartisan cooperation to ensure the effectiveness of the U.S. export control system and its alliances [5].