Samsung Gets One-Year Exemption From New U.S. Chip Restrictions on China

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Samsung Gets One-Year Exemption From New U.S. Chip Restrictions on China
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Samsung received a one-year exemption from new U.S. restrictions that block exports of advanced chips and related equipment to China

The Biden administration has been working to get allies on board with the new rules, which were unveiled Friday. The restrictions appeared to offer at least one concession to some of the allies, as the Commerce Department would review applications for certain exports to U.S. and U.S.-allied facilities operating in China on a case-by-case basis. Chinese-owned facilities, in contrast, wouldExemptions for a variety of semiconductor and chip-equipment makers from the U.S.

Samsung dominates production of two major types of memory chips—DRAM and NAND flash. The South Korean tech giant operates a NAND flash memory-chip plant in Xi’an and a chip-packaging facility in Suzhou. As of the second quarter of this year, Samsung accounted for 43.5% of global revenue for DRAM and roughly one-third of global revenue for NAND flash, according to TrendForce, a Taiwan-based tech-market researcher. It is the No. 1 player in both memory markets.

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