Chinese Semiconductor Key Companies Added to US Export Control List

[Image source=AP Yonhap News]

[Asia Economy Reporter Cho Hyun-ui] Among the 33 Chinese institutions newly added to the U.S. export control list, a key company for fostering China's semiconductor industry is included.

On the 7th (local time), the U.S. Department of Commerce announced that Shanghai Micro Electronics Equipment Co., Ltd. (SMEE), China's nearly sole semiconductor lithography equipment manufacturer, has been added to the "Unverified List" subject to export controls.

SMEE is a core company aimed at achieving semiconductor self-sufficiency in China. While the Dutch company ASML almost monopolizes the global lithography equipment market, SMEE aspires to be the "Chinese ASML."

The U.S. government restricts the export of ASML's advanced fine-process lithography equipment to China, citing that many U.S.-made components are used in ASML's equipment.

China's largest semiconductor foundry, Semiconductor Manufacturing International Corporation (SMIC), is facing difficulties in acquiring ASML's advanced EUV lithography equipment due to U.S. sanctions.

U.S. exporters must obtain approval from U.S. authorities when exporting to institutions listed on the Unverified List. Importers must also prove that they are legitimate and comply with U.S. regulations.

There is growing speculation that these regulations could further complicate SMEE's development of advanced fine-process lithography equipment.

Semiconductors are considered China's greatest weakness amid the U.S.-China strategic competition.

Hong Kong's South China Morning Post (SCMP) stated, "The red light from the U.S. to a promising company at the core of China's semiconductor self-sufficiency drive shows that the rivalry between the world's two superpowers over strategic technology fields is intensifying."

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