The US government's arbitrary changes to the control rules have seriously affected the stable supply of US chip products, CAAM said.

CAAM urges caution for Chinese automakers in buying US chips-CnEVPost
(Image credit: CnEVPost)

A major Chinese automotive association has advised local car firms to be cautious in sourcing US chips, as the latest round of US semiconductor controls are introduced.

The US government's arbitrary changes to the control rules have seriously affected the stable supply of US chip products, the China Association of Automobile Manufacturers (CAAM) said in a statement today.

The trust and confidence of the Chinese automotive industry in purchasing chip products from US companies is being shaken, and US automotive chip products are no longer reliable and secure, the statement said.

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In order to safeguard the automotive industry chain, supply chain security and stability, CAAM recommends that Chinese automotive companies be cautious in procuring US chips, according to the statement.

Most of China's mainstream high-end electric vehicle (EV) models now use US chip giant Nvidia's (NASDAQ: NVDA) Orin series of chips in their smart driving systems, while the cockpit chip of choice is Qualcomm's (NASDAQ: QCOM) Snapdragon series.

The US launched its latest round of crackdown on China's semiconductor industry on Monday, imposing controls on exports to 140 companies, including chip equipment maker Naura Technology Group.

CAAM said it firmly opposes the US government's expansion of the concept of national security and abuse of export control measures to carry out a malicious blockade and suppression of China.

Such behavior seriously violates the laws of market economy and the principle of fair competition, undermines the international economic and trade order, disturbs the stability of the global industrial chain and ultimately harms the interests of all countries, CAAM said.

Automobile is a highly globalized industry, and China's auto industry has always been rooted in globalized development, CAAM's statement said.

China's automotive industry is in a rapid development stage, and the rapid development of new energy vehicles (NEVs) is an important driving force for the global transition to green and low-carbon development, and also provides a broad market space for the global automotive industry chain, the statement said.

“We welcome global chip companies to strengthen cooperation with Chinese automotive and chip companies in various aspects, invest in China, conduct joint research and development, and share development opportunities,” CAAM added.

In addition to the CAAM, the Internet Society of China, the Chinese Semiconductor Industry Association, and the China Association of Communications Enterprises have issued similar statements.

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