Samsung to upgrade Chinese NAND chip factory after receiving U.S. exemption

 


【Lansheng Technology News】Recently, the South Korean President’s Office informed that the United States has agreed to Samsung Electronics and SK Hynix providing equipment to its factories in China without other permissions. On October 16, Mobile China learned that Samsung would upgrade its NAND chip factory in China after obtaining a US exemption.


According to a recent Yonhap News Agency report, the U.S. government recently notified South Korea through the export control department and the National Security Council Economic Security Dialogue channel that it decided to designate Samsung Electronics and SK Hynix's semiconductor factories in China as "verified end users." If included in the list, no additional license is required, which is equivalent to an indefinite suspension of export controls by the United States.


In October last year, the United States issued regulations prohibiting American companies from exporting some cutting-edge semiconductor production equipment to Chinese semiconductor manufacturers, which brought uncertainty to foreign manufacturers in China. Since then, due to the objections of the two Korean companies mentioned above, the U.S. government has granted a one-year exemption to the import of related equipment from their factories in China. The exemption is valid until October 11, 2023.


With two days left before the exemption deadline, this latest notification means that Samsung Electronics and SK Hynix are exempted indefinitely from supplying equipment to their Chinese factories. In this regard, Samsung Electronics issued a statement stating that "through close coordination with relevant governments, the uncertainty related to its semiconductor production and operations in China has been greatly eliminated." Regarding the decision to exempt the US government's export control regulations, SK Hynix also stated , "This decision will contribute to the stability of the global semiconductor supply chain."


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