Shares of Advanced Micro Devices Inc. (AMD) fell 5.79% on Wednesday after the company warned in a US Securities and Exchange Commission (SEC) filing that it could face charges of up to $800 million due to new US export controls. The rules apply to the company's MI308 semiconductor products and restrict sales to China, including Hong Kong and Macau, as well as D:5 countries. AMD said it would apply for licenses but noted there is no guarantee they will be approved.
The announcement adds to growing concerns in the chip sector amid the implementation of tariffs. Nvidia previously estimated a $5.5 billion hit in sales from similar restrictions targeting AI chips like the H20. The US government has justified the measures on national security grounds, while major tech firms continue to warn of the deepening effects of the U.S.-China tech tensions.
The company's stock fell 5.79% to $89.775 per share at 9:44 am ET, shortly after markets opened.
