US Lifts EDA Export Curbs, Giants Resume China Sales

The U.S. Department of Commerce has authorized Synopsys, Cadence, and Siemens EDA to resume exporting certain electronic design automation (EDA) tools to Chinese clients, primarily for chip designs at 28nm and above. This follows a 2022 ban restricting advanced process (14nm and below) EDA tool exports to China, signaling a partial easing of restrictions for mature process supply chains while maintaining tight controls on cutting-edge technologies.

Synopsys Response

On July 2, Synopsys received a letter from the Bureau of Industry and Security (BIS) stating that export restrictions related to China were rescinded, effective immediately. The company is working to restore access to recently restricted products and continues to assess the impact on its business, operations, and financials.

Siemens EDA Actions

Siemens EDA, a subsidiary of Germany-based Siemens AG, was notified by the U.S. government that export restrictions on chip design software to China have been lifted. The company has restored full access to its software and technical support for Chinese clients.

Cadence Statement

Cadence confirmed via email that the BIS rescinded export restrictions imposed on May 23. The company is restoring access to affected software and technologies for Chinese customers in compliance with U.S. export laws.

Context and Implications

The decision aligns with a U.S.-China trade agreement, with the U.S. easing restrictions on EDA tools and other technologies in exchange for China resuming rare earth exports. Synopsys, Cadence, and Siemens EDA, which collectively hold over 70% of China's EDA market, are critical for Chinese chipmakers designing processors. While this move supports mature process designs, advanced process restrictions remain, reflecting ongoing U.S. efforts to limit China's access to cutting-edge semiconductor technologies.