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China decided to ban the technology giant from the United States, claiming that it posed a risk to the country's security with the supply of chips
China has officially announced that Micron Technology, the American memory chip giant, will be banned from participating in infrastructure projects in the country, further deepening the technology war between China and the United States. According to the statement from Beijing, released on Sunday, the 21st, the company's products represent a "risk to national security", according to the April website.
The Cyberspace Administration of China (ACC), the body responsible for regulating Chinese cyberspace, said a review identified serious network security risks in US-based Micron chips that pose significant threats to the security of the infrastructure supply chain. of information from China, thus affecting the country's national security. However, the ACC did not specify the details of the risks found in the US company or which Micron products are concentrated.
The announcement came a day after a meeting of G7 leaders in Japan, which issued a joint statement criticizing China, including its use of "economic coercion". This action represents the first major measure taken by China against a US chip maker. United States, however it is only the most recent episode of an intensifying dispute between Washington and Beijing over technology crucial to global economies. The United States has already imposed a series of measures against the Chinese chip industry and is investing billions of dollars to boost the domestic semiconductor sector, thus reducing dependence on China.
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United States declares it will join partners to resolve chip standoff with China
In response to the Micron lawsuit, the US government has stated that it will work with allies to resolve what it called "distortions in the memory chip market caused by China's actions." A spokesperson for the Department of Commerce American said he strongly opposes restrictions that have no basis in facts and stressed that this action, along with recent attacks on other US companies, is inconsistent with China's assertions about opening up its markets and its commitment to a transparent regulatory framework.
Following the announcement, Micron's chip shares were down 5,3% in US premarket trade. China is an important market for the company, generating about 10% of its annual chip sales. In 2022, Micron recorded total revenue of US$ 30,7 billion, US$ 3,3 billion of which came from mainland China, in the acquisition of chips.
