US Approves Chip Gear Licences for Samsung, SK Hynix Plants in China
The United States government has approved annual licences for 2026 allowing chipmaking equipment to be shipped to Samsung Electronics and SK Hynix factories located in China, according to sources familiar with the matter. The information became public on Tuesday, reports Reuters.
The move is being viewed as a temporary relief for South Korea’s two leading semiconductor manufacturers amid tightening US export controls.
Earlier this year, Washington decided to withdraw previous blanket waivers granted to certain technology firms. As part of that shift, the US has now introduced an annual approval mechanism for exporting chipmaking equipment to China.
Previously, Samsung, SK Hynix, and Taiwan Semiconductor Manufacturing Company (TSMC) had enjoyed special exemptions under the “Validated End User” (VEU) status, shielding them from stringent US export restrictions. However, this privilege is set to expire on December 31, after which individual export licences will be required for each shipment.
Analysts say the US administration is further tightening export controls to restrict China’s access to advanced American technologies. Meanwhile, prices of conventional memory chips have risen amid growing global demand from artificial intelligence data centres and tightening supply. In this context, China remains a crucial manufacturing base for both Samsung and SK Hynix.
DBTech/BMT/OR
