Broader Sanctions Planned by US on Semiconductor Trade with Russia

Reuters reported that sources familiar with the matter revealed the US government's intention to announce expanded sanctions on Wednesday regarding the sale of semiconductor chips and other commodities to Russia. The move aims to target sellers based in China as the US seeks to thwart Russia's attempts to bypass existing restrictions. The extent of the sanctions concerning goods labeled as American or solely manufactured in the USA remains unclear, prompting discussions about potential adjustments needed to broaden the definition of US-originated products.

In addition to semiconductor sales, the US is reportedly preparing new sanctions targeting financial and non-banking entities involved in facilitating the flow of technology and goods to Russian entities. These measures are part of the ongoing effort to curb Russian access to critical technologies and resources. The announcement precedes President Joe Biden's departure for the G7 meeting in southern Italy, where discussions are expected to focus on supporting Ukraine and addressing the ongoing challenges posed by the Russian military apparatus, according to an anonymous source familiar with the situation.