US Adds China's SMIC to Trade Blacklist

[Photo by Yonhap News]

[Asia Economy Reporter Yujin Cho] The United States is adding about 80 Chinese companies, including SMIC, China's largest semiconductor foundry, to its trade blacklist.

According to multiple foreign media reports on the 18th (local time), the U.S. Department of Commerce plans to add around 80 Chinese companies and their affiliates to the so-called Entity List.

According to foreign media, the Entity List is expected to include companies involved in the construction and militarization of artificial islands in the South China Sea, a disputed territory, as well as some companies related to the Chinese military. Companies linked to human rights violations may also be included.

Currently, the Department of Commerce's Entity List includes more than 275 Chinese companies. Huawei and its 150 affiliates, along with ZTE, have been placed on the list for alleged sanctions violations, and Hikvision, a CCTV manufacturer, was added due to its involvement in the repression of the Uyghur population.

If SMIC, a leading Chinese semiconductor company, is added to the Department of Commerce's Entity List, it is expected to be effectively cut off from access to U.S. technology, similar to Huawei. In the future, SMIC will need special permission from the U.S. Department of Commerce to import key components from U.S. suppliers.

President Donald Trump continues to solidify his tough stance on China until the end of his term. Semiconductors are a core sector that forms the foundation of China's advanced technology industry development.

The Chinese Ministry of Foreign Affairs urged the U.S. to "stop its wrongful acts of suppressing foreign companies" in response to these reports. Wang Wenbin, spokesperson for the Chinese Ministry of Foreign Affairs, stated at a regular briefing that "China will continue to take necessary measures to safeguard the legitimate rights and interests of Chinese companies."

This content was produced with the assistance of AI translation services.