On July 17th, Bloomberg reported that the US government has informed allies that if companies such as Tokyo Electronics and ASML continue to provide advanced semiconductor technology to China, they will consider using the strictest trade restrictions to further restrict chip trade with China.

According to reports, the United States is weighing whether to implement a measure called the Foreign Direct Product Rule (FDPR), which was first introduced in 1959 to control trade in American technology. The rule allows the United States to impose controls on foreign manufactured products that use even the smallest amount of American technology. FDPR is equivalent to implementing "long arm jurisdiction" over foreign products. Even specific items produced outside the United States, such as those developed or manufactured directly using specific controlled software or technology in the United States, will be subject to the Export Administration Regulations (EAR).