China Delays $35B Semiconductor Deal Amid US Chip Export Restrictions

China''s antitrust regulator has paused approval of a $35 billion semiconductor merger between US firms Ansys and Synopsys, signaling escalating trade tensions. The State Administration for Market Regulation (SAMR) suspended its review days after Washington tightened chip-design software export controls.

The deal had already cleared US and European regulatory hurdles. Industry observers expected Chinese approval by June''s end, but the US Commerce Department''s late-May restrictions on chip-design tool exports created new complications. Synopsys CEO Sassine Ghazi confirmed ongoing negotiations with SAMR during the company''s May 28 earnings call.

Sources suggest the delay stems partly from the transaction''s complexity rather than purely geopolitical factors. SAMR''s standard 180-day review window has already elapsed, indicating unusually protracted deliberations. Approval remains possible if Synopsys addresses regulatory concerns about technology transfer implications.