Reuters quoted people familiar with the matter as saying that the United States will impose the third wave of controls on China's semiconductor industry in three years on Monday, blacklisting 140 companies. In addition to adding 24 types of chip manufacturing equipment and three types of software, high-bandwidth memory (HBM) will also be included in the control.

Reuters named the affected Chinese chip equipment manufacturers as North Huachuang, Tuojing Technology and Xinkailai. In addition to more than 100 chip equipment manufacturers, Chinese companies facing new restrictions also include more than 20 semiconductor companies and two investment companies.

Shengweixu, Xinen (Qingdao) and Shenzhen Pengxinxu will be included in the Entity List because of their cooperation with Huawei. The Entity List prohibits US suppliers from shipping to listed companies without prior special permission.

The United States is also preparing to impose additional restrictions on SMIC. SMIC was included in the Entity List in 2020, but policy licenses still released billions of dollars worth of shipments. The two companies investing in the chip industry that were first listed by the United States are Zhilu Capital and Wingtech Technology.