⁍ The United States has imposed restrictions on exports to China’s biggest chip maker SMIC.


⁍ The U.S. concluded there is an ‘unacceptable risk’ equipment supplied to it could be used for military purposes.


⁍ SMIC said it had not received any official notice of the restrictions and said it has no ties with the Chinese military.


– The Commerce Department has placed restrictions on the export of certain equipment to China’s largest chip maker because it believes the equipment could be used for military purposes, Reuters reports. According to a letter from the Commerce Department seen by the news agency, Semiconductor Manufacturing International Corporation, or SMIC, will now need to apply for individual export licenses for the equipment. SMIC says it “has no relationship with the Chinese military” and it “provides services solely for civilian and commercial end-users and end-uses.” The Commerce Department says it is “constantly monitoring and assessing any potential threats to US national security and foreign policy interests.” The Commerce Department’s Bureau of Industry and Security declined to comment specifically on SMIC, but said it was “constantly monitoring and assessing any potential threats to US national security and foreign policy interests.” SMIC’s alleged links to the Chinese military were first reported by Reuters earlier this month.



Source: https://www.reuters.com/article/usa-china-smic/update-2-us-tightens-exports-to-chinas-chipmaker-smic-citing-risk-of-military-use-idUSL8N2GN07T