Due to US and UK export controls, Arm's most advanced chip designs can't be purchased by a Chinese company. The US and UK wouldn't approve the sale of Arm's latest Neoverse V series chip designs because they wouldn't give licenses to export the chip designs to China.

In order to impair Beijing's military and technological capabilities, the US imposed restrictions on chip sales to China. The UK and the US both have restrictions on the export of chip-making equipment to China.

Arm, which is owned by SoftBank and is based in Britain, is unable to sell its advanced chips due to the Wassenaar Arrangement, an export control arrangement that was first established in 1996. Arm says it can't sell the chip designs to China because they're classified as "US origin"

Chinese companies may be behind in some areas.

Arm's Neoverse V1 and V2 chip designs are not available to Chinese companies. The Arm Neoverse V1 chip designs are included in the EC2 instances.

Arm was forced to cut ties withHuawei due to a US trade ban, and these export controls will make it harder for China to build leading chips. Despite the fact that many of the phones that US consumers use daily are manufactured in China, you can't buy aHuawei phone in the US.

According to recent reports, Japan and the Netherlands have agreed to join the US and UK in controlling chip manufacturing in China. Following months of investment by the US in domestic chip manufacturing, the controls on chip manufacturing equipment exports to China have been put in place. The CHIPS and Science Act was signed into law by President Joe Biden in August.

One of the first domestic chip-making facilities to come out of the CHIPS and Science Act was built by Intel. Intel is going to invest $100 billion in Ohio over the next decade. President Biden and Tim Cook celebrated the arrival of production equipment at the first TSMC facility in Arizona, which will be used to make advanced chips for Apple and other companies in the future.