BENGALURU, March 24 — Malaysia plans to tighten regulations on semiconductors as it comes under US pressure to staunch the flow of chips, crucial to the development of artificial intelligence, to China, the Financial Times said yesterday.
Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said that the US government is demanding that Malaysia closely track the movement of high-end Nvidia chips that enter the country over suspicions that many are ending up in China, according to the report.
"[The US is] asking us to make sure that we monitor every shipment that comes to Malaysia when it involves Nvidia chips,” Tengku Zafrul told the newspaper.
"They want us to make sure that servers end up in the data centres that they're supposed to and not suddenly move to another ship."
— Reuters