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Market Daily Report: Bursa Malaysia Ends Lower as Investors Eye US Data, BOJ Decision

KUALA LUMPUR, Dec 5 (Bernama) -- Bursa Malaysia closed lower on Friday amid mixed regional market performance as investors turned cautious over a possible rate hike by the Bank of Japan (BOJ) and upcoming US economic data that may influence the Federal Reserve’s (Fed) interest rate decision next week.   At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) pared most earlier losses to settle 4.55 points easier, or 0.28 per cent, to 1,616.52 from Thursday’s close of 1,621.07. The benchmark index, which opened 0.37 of-a-point lower at 1,620.70, moved between 1,609.67 and 1,621.25 throughout the day.  The broader market was negative, with decliners outpacing advancers 604 to 439. A total of 550 counters were unchanged, 1,151 untraded, and 18 suspended. Turnover declined to 3.17 billion units worth RM2.24 billion from 4.48 billion units worth RM2.75 billion yesterday. Rakuten Trade Sdn Bhd vice-presiden...

US Charges Four in Nvidia Chip Smuggling Scheme to China, Spotlighting Rising National-Security Risks

 US federal prosecutors have charged four men — two Chinese nationals and two Americans — for allegedly smuggling millions of dollars’ worth of Nvidia’s advanced AI chips to China, in direct violation of US export controls aimed at curbing Beijing’s technological and military progress.

According to an indictment unsealed Wednesday, the group used a fake real-estate company in Tampa, Florida, as a front to route hundreds of high-performance GPUs through Malaysia before sending them to buyers in China. No export licences were sought from the US Commerce Department, as required under national-security restrictions introduced in 2022.

The case underscores Washington’s growing concern that China is finding workarounds to access US semiconductor technology despite sweeping export rules. Beijing’s rapid AI development — including the launch of the DeepSeek chatbot earlier this year — has amplified scrutiny over chip diversion.

Nvidia CEO Jensen Huang addressed the issue on Bloomberg TV after the company’s earnings call, saying Nvidia enforces “rigorous and comprehensive” export controls. The company said even secondary-market sales of older chips face strict reviews.

Key Takeaways for Investors & Tech Watchers

  • US–China tech tensions intensify: Another smuggling case highlights persistent attempts to bypass export bans on advanced AI chips.

  • Nvidia remains central to the geopolitical tech race, even older-generation chips like A100s are tightly controlled.

  • More compliance pressure ahead: US lawmakers are pushing for mandatory chip tracking, which could reshape global semiconductor supply chains.

  • Enforcement is tightening: Multiple arrests in 2024–2025 show US agencies are becoming more aggressive in cracking down on diversion schemes.

  • AI supply-chain risks rising: Companies relying on China-linked routes or buyers could face additional scrutiny and slower approvals.

This is the second major smuggling case this year. Two Chinese nationals were charged in August for a similar scheme involving a California-based company.

How the Alleged Scheme Worked

Prosecutors say a Tampa firm, Janford Realtor LLC — which never conducted any real-estate business — acted as an intermediary for illegal exports of Nvidia’s A100 GPUs. Three defendants allegedly sourced buyers in China while a fourth procured chips from a US supplier.

Between October 2024 and January 2025, the group allegedly shipped 400 Nvidia A100 chips to China. Additional attempts to export H100 and H200 GPUs, as well as 10 HP supercomputers, were stopped by law enforcement before they left the US.

All the chips involved are banned from export to China under US Commerce Department rules.

Republican Congressman John Moolenaar called the case “the latest example” of China trying to skirt US export controls and renewed calls for passage of the Chip Security Act, which would mandate chip location verification and diversion reporting by manufacturers.

Arrests and Potential Penalties

The four charged are Hon Ning HoCham LiJin Chen, and Brian Raymond.

  • Ho and Chen were arrested and remain in custody.

  • Raymond was released on bond.

  • Li appeared in a California court and is awaiting a detention hearing next week.

If convicted on the most serious counts, each faces up to 20 years in prison.

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