U.S. moves to restrict Intel, Samsung, and SK Hynix chip production in China
The U.S. Commerce Department will make it harder for global chipmakers Samsung, SK Hynix, and Intel to produce semiconductors in China by revoking their permissions to use American semiconductor manufacturing equipment there, according to the Federal Register.
Previously granted as exceptions to the 2022 U.S. restrictions on semiconductor equipment sales to China, the companies will now require licenses to acquire the technology in the country. The change is expected to reduce sales for U.S. equipment makers like KLA Corp, Lam Research, and Applied Materials, while potentially benefiting domestic Chinese equipment producers, News.Az reports, citing Reuters.
The move may also advantage Micron, a U.S. competitor to Samsung and SK Hynix in memory chips. The licensing requirements will take effect in 120 days.
Intel previously sold its Dalian NAND memory facility in China to SK Hynix but continued some wafer production into 2025.
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