The United States indefinitely exempts Korean companies from the ban on exporting chip equipment to China. Korean media: It is a much-needed comfort for the Korean chip industry.

Yonhap News Agency reported on the 9th, citing information from the South Korean President's Office, that Samsung Electronics and SK Hynix will be allowed to provide U.S. chip manufacturing equipment to their factories in China indefinitely without obtaining separate approval from the United States. Yonhap News Agency stated that this is a much-needed relief for South Korean chip manufacturers, because this decision eliminates the uncertainty faced by the two companies in producing chips in China.

According to Yonhap News Agency, the U.S. government recently notified South Korea through the export control department and the National Security Council Economic Security Dialogue channel that it decided to designate Samsung Electronics and SK Hynix's semiconductor factories in China as "verified end users." If included in the list, no additional license is required, which is equivalent to an indefinite suspension of U.S. export controls. Yonhap News Agency reported in September that the level of equipment allowed to be imported through "verified end users" is expected to be higher than U.S. export controls to China, taking into account the two companies' future plans, and the two companies have also specified equipment that can be brought into their Chinese production lines. "The two major chip companies will need to upgrade their manufacturing equipment in the next few years to achieve business development." Sources told Yonhap News Agency.

As the world's two largest memory chip manufacturers, Samsung and SK Hynix have been deeply involved in the Chinese market for many years. In October last year, the United States issued regulations prohibiting American companies from exporting some cutting-edge semiconductor production equipment to Chinese semiconductor manufacturers. Yonhap News Agency stated that this is obviously an attempt to slow down Beijing’s technological progress in this key field. However, this move also brings uncertainty to foreign manufacturers in China. In September this year, seeing that the one-year exemption provided by the United States to Korean companies with semiconductor factories in China was about to expire, but it has not made a specific statement on whether to extend the deadline, South Korean Minister of Industry, Trade and Energy Moon Kyu met with the U.S. Deputy Secretary of Commerce in Seoul on September 22 and asked the United States to provide clear solutions in terms of chip export controls and investment subsidies.

"The U.S. government's decision means that the most important trade issue for our semiconductor companies has been resolved." Choi Sang-moo, chief economic secretary of the South Korean President's Office, said on the 9th that the U.S. government has notified the two Korean companies of its decision and it will take effect immediately. British Reuters quoted a statement from SK Hynix as saying: "We welcome the U.S. government's decision to extend exemptions from export control regulations. We believe this decision will help stabilize the global semiconductor supply chain." U.S. Bloomberg quoted a Samsung Electronics spokesperson as saying, "Through close coordination with relevant governments, the uncertainty related to the operation of our semiconductor production lines in China has been significantly eliminated. We will continue to work closely with all relevant governments to maintain a stable supply chain for the global semiconductor industry."