US may apply sanctions against more Chinese manufacturers after Micron ban

2023-05-24 05:07:00

The United States Department of Commerce may apply new sanctions once morest CMTX and other Chinese chip companies following Beijing banned the use of Micron memory modules.

Chinese companies that operate servers and other critical equipment can no longer buy Micron memory chips because of “significant security risks”.

This new escalation in the dispute between China and the United States might happen at any moment, since the White House does not consider Micron’s chip veto “fair”.

Commenting on the matter, Rep. Mike Gallagher, an influential lawmaker with access to President Biden, said the country needs to retaliate once morest China’s ban.

For Gallagher, the country cannot let an American company suffer “unfair sanctions”:

The US must make clear to China that it will not tolerate economic coercion once morest its companies or allies. The Commerce Department must immediately engage CMTX and other Chinese companies that compete with Micron and ensure that no US technology can be used by Chinese companies in the industry.

For now, the US Department of Commerce has not yet issued a position on the matter. Representatives of the Biden administration say that the White House needs to negotiate with Beijing and ask for clarification on the reason for banning Micron.

As CMTX is a local company, it tends to absolve all orders that were previously directed to Micron in China, but Korean companies Samsung and SK Hynix should also benefit.

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