NEWS  /  Analysis

U.S. Reported to Remove License Suspension for GE Aerospace to Restart Engine Sales to China's COMAC

By  LiDan  Jul 03, 2025, 10:59 p.m. ET

At least one other aerospace company on Thursday saw relief similar to GE. Three of the leading EDA software makers including Synopsys on Wednesday said they were notified the U.S. export restrictions related to China imposed in late May have been rescinded.

AsianFin -- The Trump administration is reported to further ease export controls on China.

Credit:Xinhua News Agency

Credit:Xinhua News Agency

The U.S. government on Thursday informed GE Aerospace that the aircraft engine supplier can restart its engine sales to the Commercial Aircraft Corporation of China, Ltd. (COMAC), a state-owned aerospace manufacturer, and at least one other aerospace company the same day saw similar relief, Reuters reported, citing people with knowledge of the matter.

It was said that the license suspension was part of Washington’s response to China’s export controls on rare earths and related magnets in April, part of retaliation against Trump's earlier tariffs this year. 

The lift licenses reportedly apply to LEAP-1C engines to COMAC for its C919 single-aisle aircraft, and GE's CF34 engine for COMAC's C909 regional jet.The LEAP 1-C engines are made by a joint venture between GE Aerospace, one of three public companies that General Electric split into, and France's Safran. C919, as China's first self-developed trunk jetliner, conducted its first commercial flight from Shanghai to Beijing in May 2023.

The U.S. Department of Commerce’s licence suspension was at the beginning of June reported to extend to GE's CF34 engine for COMAC's C909, from the engines aboard C919, and clearance for key components from suppliers like Honewell Aerospace and RTX Corp. unit Collins Aerospace have also been halted.   

While neither GE nor the Commerce Department responded to the Reuters report on Thursday, the news can be deemed as one of the latest signs that tensions between U.S. and China are easing.

Three of the world’s leading electronic design automation (EDA) software makers-- Synopsys, Cadence and Siemens EDA, a division of German tech conglomerate Siemens, said on Wednesday that the U.S. Commerce Department has notified that they no longer need special government licenses to sell to Chinese clients. 

Synopsys in a statement disclosed it was informed that the export restrictions related to China, pursuant to a letter received on May 29, 2025, have now been rescinded, effective immediately, and said it is working to restore access to the recently restricted products in China.

Shares of three companies advanced on Thursday. Synopsys and Cadence stocks listed in the United States closed 4.9% and 5.1% higher, respectively. Siemens EDA parent stock rose as much as 3% before edging up 0.8% as of close  in Frankfurt.   

The export curbs came into effect a month ago. Siemens EDA, Synopsys and Cadence all confirmed on May 29 that they have received notices from the U.S. Commerce Department about new export controls on EDA software to China.

The brief ban on chip design tools had marked a significant escalation in the U.S. effort to limit China’s advancement in semiconductors and artificial intelligence, adding to previous restrictions on cutting-edge chips and chipmaking equipment.

EDA is a specialized category of software used by electronics engineers to design, simulate and verify electronic systems and circuits. EDA tools provided by Synopsys, Cadence, and Siemens are indispensable to the global tech ecosystem, enabling the design of everything from high-end processors used by Nvidia and Apple to more basic components like power management chips.

Earlier Wednesday, the U.S. also sent letters to ethane producers to lift a restrictive licensing requirement to exports to China imposed in late May and June.

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