US Think Tank: "If Samsung Refuses US Data Requests, Public Procurement May Become Difficult"

Interview with Researchers from the Korea Economic Institute
"US Government's 'Semiconductor Confidentiality Demand' Is a Voluntary Request"
"Possibility of Retaliatory Tariffs Is Very Low"

(From the second on the left) Mark Tokola, Deputy Director of the Korea Economic Institute of America (KEI), Troy Stangarone, Senior Director, Kyle Perrier, Researcher

[Washington DC (USA) = Asia Economy Reporter Son Seon-hee] A Washington think tank official stated that if Samsung Electronics refuses the U.S. government's request for confidential semiconductor data, its participation in public procurement within the U.S. could be restricted. Earlier, the White House had demanded global semiconductor companies, including Samsung Electronics, to "submit data on semiconductor inventory, orders, and sales status," suggesting that the U.S. government's pressure might intensify.

Troy Stangarone, Senior Director and Researcher at the Korea Economic Institute of America (KEI), said in an interview with Korean reporters on the 12th (local time) regarding the U.S. government's 'confidential semiconductor request' to Samsung Electronics and SK Hynix, that it is a "voluntary request," but added, "If refused, future participation in (U.S.) public procurement could be restricted." He further noted, "It is not unusual for the U.S. government to make such demands on companies working in the public sector or selling (products) to the government." He also explained the U.S. government's intention behind this request as "to manage market oversupply and tensions among various semiconductor (chip) manufacturers in preparation for future supply chain disruptions."

The Korea Economic Institute of America is a nonprofit independent organization based in Washington, D.C., conducting research on Korea-U.S. relations. Senior Director Stangarone holds a Ph.D. in Political Science and Economics from the University of Memphis and has served as a political counselor at the U.S. Embassy in the United Kingdom, making him an expert in political economy.

Senior Director Stangarone predicted that even if the U.S. government’s data request is refused, the likelihood of retaliatory measures such as punitive tariffs is very low. Regarding the possibility of retaliatory actions like tariffs, he dismissed it by saying, "The U.S. government will not take any measures that could seriously damage the supply chain." In the past, when Japanese semiconductor companies like Toshiba and Hitachi threatened U.S. semiconductor firms in the 1980s, then-President Donald Reagan imposed 100% punitive tariffs on Japan. However, this backfired on U.S. companies. Given this precedent, excessive measures are unlikely. A KEI researcher evaluated this case as "having adversely affected the U.S. economy," emphasizing that "the U.S. government views Samsung as an important company worth negotiating with. Washington’s desire is to cooperate with Samsung, not to confront it."

Senior Director Stangarone also stated that the current U.S. government request is "not targeted solely at Samsung," and reiterated that regarding the possibility of retaliatory measures such as tariffs, "the U.S. government will not take any measures that could seriously damage the supply chain." However, seemingly mindful of concerns about technology leakage to U.S. competitors of Korean companies, he added, "Even if information is disclosed to peer companies, it would be difficult for U.S. companies to replace Samsung’s production volume."

Meanwhile, when asked about Washington’s reaction to the 'Declaration of the End of War' proposed by President Moon Jae-in at last month’s United Nations (UN) General Assembly speech, KEI Deputy Director Mart Tokola analyzed, "The meaning of the declaration of the end of war is unclear," and said, "If the declaration includes 'broader discussions,' it would generally be supported." However, he added, "Legally, the war ended with an armistice, and the real issue is 'what are the appropriate conditions to end the armistice,'" and stated, "I believe the South Korean government’s direction and goals for further discussions need to be more specifically clarified."

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