UPDATED. 2021-04-15 18:32 (목)
US adds China’s SMIC to sanction list 
US adds China’s SMIC to sanction list 
  • Dongwon Kim
  • 승인 2020.12.21 18:42
  • 댓글 0
이 기사를 공유합니다

Korean firms to secure short-term gains but uncertainty remains in long-term from US-China trade dispute
Image: SMIC
Image: SMIC

US Department of Commerce has added Chinese foundry SMIC in its list of sanctioned companies that will have their access to US technology blocked.

SMIC was among 77 companies, 60 of them Chinese, added to Entity List. The addition was due to China’s military-civil fusion (MCF) doctrine and evidence of activities between SMIC and entities of concern in the Chinese military industrial complex, the Department said.

SMIC is a major semiconductor chip firm and its chips are used by Chinese companies such as Huawei.

The company has secured 14nm node production process and has been developing the 7nm process. 

Samsung Electronics and TSMC are the only two foundry companies in the world that can make chips in the smaller 5nm process.

People familiar with the matter said SMIC was behind Samsung and TSMC in technology but has grown fast in recent years thanks to support from the Chinese government.

US Secretary of Commerce Wilbur Ross appeared on Fox Business Network earlier this month and said the government will block SMIC access to semiconductor technology smaller than 10nm.

China’s foreign ministry has protested the move.

The ban against SMIC will likely benefit South Korean foundry companies Samsung Electronics and DB HiTek.

However, currently there is an oversupply of orders for foundry companies so it remains to be seen whether these companies can handle the additional order. SMIC has recently hired an ex-CTO of TSMC as vice chairman.

The continued trade dispute between the US and China also loom as a long-term risk for South Korean companies due to the uncertainty it causes.


댓글삭제
삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
댓글쓰기
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • 515, Nonhyeon-ro, Gangnam-gu, Seoul, Republic of Korea 4F, Ahsung Bldg.
  • 대표전화 : 82-2-2658-4707
  • 팩스 : 82-2-2659-4707
  • 청소년보호책임자 : Stan LEE
  • 법인명 : The Elec Inc.
  • 제호 : THE ELEC, Korea Electronics Industry Media
  • 등록번호 : 서울, 아05435
  • 등록일 : 2018-10-15
  • 발행일 : 2018-10-15
  • 발행인 : JY HAN
  • 편집인 : JY HAN
  • THE ELEC, Korea Electronics Industry Media Prohibiting unauthorized duplication,publishing,modification and distribution the material on this Site for any purpose.
  • Copyright © 2021 THE ELEC, Korea Electronics Industry Media. All rights reserved. mail to powerusr@thelec.kr
ND소프트