The Trump administration is restricting access to state - backed Chinese company Fujian Jinhua Integrated Circuit Company , which makes semiconductors , citing national security concerns . The move will limit Fujian ’s ability to " threaten the supply chain for essential components in our military systems " , said US Commerce Secretary Wilbur Nelson . Negotiations have ahead of a planned meeting between US President Donald Trump and Chinese President Xi Jinping on the sidelines of the upcoming G20 summit in Argentina. This latest move finds another Chinese company caught up in the ongoing US - China trade dispute over trade , transfer of tech secrets and market access . It is expected to add further friction to the countries ' relationship . Talks have already stalled ahead of a planned meeting at the upcoming G20 summit in Argentina .
The Trump administration is restricting access to state - backed Chinese company Fujian Jinhua Integrated Circuit Company , which makes semiconductors , citing national security concerns . The move will limit Fujian ’s ability to " threaten the supply chain for essential components in our military systems " , said US Commerce Secretary Wilbur Nelson . This latest move finds another Chinese company caught up in the ongoing US - China trade dispute over trade , transfer of tech secrets and market access . It is expected to add further friction to the countries ' relationship . Talks have already stalled ahead of a planned meeting at the upcoming G20 summit in Argentina .