The US asks South Korea not to supply microchips to China in case of a shortage
The United States has asked South Korea to urge its chipmakers not to fill a shortfall in the Chinese market if Beijing bans U.S. company Micron Technology Inc from selling chips, reports Economic Times with reference to the Financial Times.
The news appeared on the eve of the visit of South Korean President Yoon Suk-yeol to the United States for a summit with American leader Joe Biden. The trip, which will last from April 24 to 29, coincides with the 70th anniversary of the alliance between the countries and will be the first state visit by a South Korean president to the United States since 2011.
Washington has asked Seoul to encourage Samsung Electronics and SK Hynix to refrain from increasing sales to China if Micron is banned as a result of Beijing’s investigation, according to people familiar with the situation.
In March, the Chinese regulator announced its intention to conduct a safety review of the American company’s products sold on the local market. Micron later announced that it is cooperating with the Chinese government and that its operations in the country are normal.
The White House did not comment on the FT report but noted that the countries’ administrations have made efforts to coordinate investments in the semiconductor sector, protect critical technologies and fight economic coercion.
As you know, the US has introduced a series of export controls on chip manufacturing technologies to China to avoid their potential use in the production of chips for military purposes. The largest Chinese profile manufacturers, including Yangtze Memory Technologies Co Ltd, were blacklisted.
The Netherlands has also unveiled plans to restrict the export of key tools for the production of microchips.