Samsung, SK hope for eased US chip equipment regulation for China plants

Samsung Electronics and SK hynix are closely monitoring U.S. regulatory developments on exporting chipmaking equipment to their plants in China, hoping the Donald Trump administration will set rules more favorable to them. According to industry officials Sunday, the two Korean chipmakers are tracking the U.S. Commerce Department’s movement on the Validated End-User (VEU) designations, waivers that had granted the Korean firms indefinite clearance to ship key chipmaking equipment to their Chinese facilities. On Aug. 29, the Bureau of Industry and Security (BIS) in the Department of Commerce announced that it has “closed a Biden-era loophole known as the VEU program,” and the companies will now have to obtain export licenses to send equipment. According to BIS, it will revise the existing VEU authorizations list for China by removing Samsung China Semiconductor and SK hynix Semiconductor China. This rule is set to take effect Dec. 31. Samsung and SK hynix obtained VEU status under the Joe Biden administration, which allowed them to send most semiconductor equipment, except for certaiWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times