Japan has announced an expansion of its export controls to include advanced semiconductor chips and quantum computing technology.

Under the proposed changes to Japan’s foreign exchange law, companies will need licenses to export advanced chips, lithography equipment, and cryocoolers used for quantum computing.

The government aims to prevent these technologies from being used in weapons development or advanced encryption-breaking systems.

The restrictions are set to take effect at the end of May 2025.

Japan will also add 42 new entities to its export oversight list, bringing the total number of Chinese companies and research institutions on the list to around 110.

China has criticized the measures, said they may disrupt supply chain security and affect economic ties.

This move coincides with the U.S. tightening restrictions on chip sales for AI applications, due to concerns over re-exportation to China.