DECOUPLING: The U.S. just undercut China’s best shot at semiconductor independence.

The U.S. has reportedly placed China’s largest semiconductor manufacturer, SMIC, on a list of foreign companies that U.S. suppliers need special permission to work with. The move is the latest in Washington’s attempts to wield U.S. dominance in semiconductors as a weapon over China.

Beijing is rushing to create its own semiconductor supply line and, as China’s most advanced semiconductor manufacturer, SMIC represents its best shot at chip independence. But news of the ban shows how vulnerable the company remains. SMIC’s Hong Kong–listed shares plummeted as much as 7.9% on Monday, after news of the ban broke on Saturday.

More like this, please.