Huawei Technologies and Semiconductor Manufacturing International Corp. (SMIC) leveraged US technology to develop an advanced chip in China by 2023.
Chinese companies Huawei Technologies and Semiconductor Manufacturing International Corp. (SMIC) used US technology to create an advanced chip in China in 2023.
SMIC used technology from California’s Applied Materials Inc. (AMAT.O) and Lam Research Corp. (LRCX.O) to develop an advanced 7-nanometer chip for Huawei last year, according to the report, which also stated that SMIC obtained the American machinery before the US banned such sales to China in October 2022.
The White House Commerce Department, Huawei, Applied Materials, Lam Research, and SMIC did not immediately respond.
The United States has taken a gradual approach to denying SMIC and Huawei access to advanced US technology.
The Trump administration added Huawei to a list of trade restrictions in 2019 due to alleged sanctions violations. Semiconductor Manufacturing International Corp. was added to the same list in 2020 due to its claimed ties to China’s military industrial complex. Both firms previously denied wrongdoing.
According to a source, the US government targeted SMIC and blocked its most advanced factory from receiving more American imports after it created the chip for Huawei’s Mate 60 Pro phone.
The Biden administration has moved actively in recent months to prohibit shipments to China of increasingly powerful AI processors as part of their efforts to prevent Beijing from getting technologies to strengthen its military.
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