US slams China’s ban on buying Micron chips as ‘economic coercion’

[beijingwalker]

US slams China’s ban on buying Micron chips as ‘economic coercion’​

UPDATED 20:25 EDT / MAY 28 2023

U.S. Commerce Secretary Gina Raimondo said late Saturday that her country “won’t tolerate” China’s recent ban on the purchase of memory chips from Micron Technology Inc. and added that the U.S. government is working closely with its allies to counter what she termed “economic coercion.”

Raimondo (pictured) was speaking at a news conference after a meeting of trade ministers in the U.S.-led Indo-Pacific Economic Framework discussions, where she said the U.S. “firmly opposes” China’s moves against Micron.

China’s actions “target a single U.S. company without any basis in fact,” Raimondo said. “We see it as plain and simple economic coercion and we won’t tolerate it, nor do we think it will be successful.”

Her comments followed a May 21 announcement by China’s cyberspace regulator that Micron, the biggest maker of memory chips in the U.S., had failed a network security review. “The review found that Micron’s products have serious network security risks, which pose significant security risks to China’s critical information infrastructure supply chain, affecting China’s national security,” the Cyberspace Administration of China said in a statement.

As a result, the regulator said, it will block operators of key infrastructure in China from buying Micron’s products. That prompted Micron to warn investors it expects to see a significant reduction in its revenue.
China’s announcement was its first major move against a U.S. chipmaker, and it came at a time of increased tension between Beijing and Washington.

The two countries have been engaged in a long-running row over technology, with the U.S. voicing fears that China may be using its most advanced computer chips to power military applications. As a result, the U.S. has imposed a series of measures against China, preventing it from importing the most sophisticated chips and also targeting its domestic chipmaking industry. At the same time, the U.S. has been investing billions of dollars to boost its own semiconductor manufacturing industry.

China is a key market for Micron, generating about 10% of its full-year revenue. In its fiscal 2022 year, Micron reported total sales of $30.7 billion, of which $3.3 billion came from China.

Raimondo told reporters she raised her concerns in a Thursday meeting with China’s commerce minister, Wang Wentao. The meeting was part of a broader effort by President Joe Biden’s administration to restore high-level discussions with Beijing, including the prospect of direct talks between Biden and Chinese President Xi Jingping.

At the same time, the U.S. has said it is engaging with its international partners on how to respond to China’s Micron ban. As part of these efforts, it has reportedly urged South Korea not to make up any shortfall. South Korea is a major trading partner of China and has now found itself stuck in the middle, with its chipmakers Samsung Electronics Co. and SK Hynix Inc. both poised to gain from Micron’s loss of market share.

Wang said in a statement over the weekend that he had already met with South Korea’s trade minister Ahn Duk-geun and had agreed to strengthen dialogue on semiconductor supply chain cooperation. However, a statement from Ahn’s office said the talks were about “stabilizing the supply and demand of key raw materials and components” and made no reference to semiconductors.

US slams China's ban on buying Micron chips as 'economic coercion' - SiliconANGLE

US slams China's ban on buying Micron chips as 'economic coercion' - SiliconANGLE

siliconangle.com

 

[beijingwalker]

Hypocracy at its finest...lol . Typical example of America being America.

 

[wildlens]

its not hypocrisy. there is a difference between someone killing people and the state executing him as punishment. the end is the same death.

 

[beijingwalker]

its not hypocrisy. there is a difference between someone killing people and the state executing him as punishment. the end is the same death.

Remember Huawei, Tiktok?

 

[Ali_Baba]

US slams China’s ban on buying Micron chips as ‘economic coercion’​

UPDATED 20:25 EDT / MAY 28 2023

U.S. Commerce Secretary Gina Raimondo said late Saturday that her country “won’t tolerate” China’s recent ban on the purchase of memory chips from Micron Technology Inc. and added that the U.S. government is working closely with its allies to counter what she termed “economic coercion.”

Raimondo (pictured) was speaking at a news conference after a meeting of trade ministers in the U.S.-led Indo-Pacific Economic Framework discussions, where she said the U.S. “firmly opposes” China’s moves against Micron.

China’s actions “target a single U.S. company without any basis in fact,” Raimondo said. “We see it as plain and simple economic coercion and we won’t tolerate it, nor do we think it will be successful.”

Her comments followed a May 21 announcement by China’s cyberspace regulator that Micron, the biggest maker of memory chips in the U.S., had failed a network security review. “The review found that Micron’s products have serious network security risks, which pose significant security risks to China’s critical information infrastructure supply chain, affecting China’s national security,” the Cyberspace Administration of China said in a statement.

As a result, the regulator said, it will block operators of key infrastructure in China from buying Micron’s products. That prompted Micron to warn investors it expects to see a significant reduction in its revenue.
China’s announcement was its first major move against a U.S. chipmaker, and it came at a time of increased tension between Beijing and Washington.

The two countries have been engaged in a long-running row over technology, with the U.S. voicing fears that China may be using its most advanced computer chips to power military applications. As a result, the U.S. has imposed a series of measures against China, preventing it from importing the most sophisticated chips and also targeting its domestic chipmaking industry. At the same time, the U.S. has been investing billions of dollars to boost its own semiconductor manufacturing industry.

China is a key market for Micron, generating about 10% of its full-year revenue. In its fiscal 2022 year, Micron reported total sales of $30.7 billion, of which $3.3 billion came from China.

Raimondo told reporters she raised her concerns in a Thursday meeting with China’s commerce minister, Wang Wentao. The meeting was part of a broader effort by President Joe Biden’s administration to restore high-level discussions with Beijing, including the prospect of direct talks between Biden and Chinese President Xi Jingping.

At the same time, the U.S. has said it is engaging with its international partners on how to respond to China’s Micron ban. As part of these efforts, it has reportedly urged South Korea not to make up any shortfall. South Korea is a major trading partner of China and has now found itself stuck in the middle, with its chipmakers Samsung Electronics Co. and SK Hynix Inc. both poised to gain from Micron’s loss of market share.

Wang said in a statement over the weekend that he had already met with South Korea’s trade minister Ahn Duk-geun and had agreed to strengthen dialogue on semiconductor supply chain cooperation. However, a statement from Ahn’s office said the talks were about “stabilizing the supply and demand of key raw materials and components” and made no reference to semiconductors.

US slams China's ban on buying Micron chips as 'economic coercion' - SiliconANGLE

US slams China's ban on buying Micron chips as 'economic coercion' - SiliconANGLE

siliconangle.com

If you are going to give it - you better be prepared to receive it - looks like USA is now on the receiving "end" for a change..

 

[beijingwalker]

China makes first major move against a U.S. tech firm – U.S cries foul​

May 29, 2023

Over the years, the U.S. has been blacklisting several Chinese firms citing “national security”. From time to time, Chinese authorities kick against these bans but that did not change anything. China has recently banned Micron, the largest U.S. semiconductor maker from doing business with Chinese brands, citing “national security risks”. This is coming from an Aljazeera report. According to Reuters, the U.S. has banned Chinese brands like Huawei and ZTE citing the same “national security risks”. In terms of the reason for the ban, it doesn’t go beyond “national security risks”. The U.S. cites national security for banning Chinese firms and China is now doing the same for banning Micron.

U.S cry foul over China’s ban on Micron​

According to the Wall Street Journal, the ban on Micron has led to pressure on the Biden administration to respond to Beijing‘s blacklisting of Micron Technology. In a Reuters report, Commerce Secretary, Gina Raimondo stated that the United States “won’t tolerate” China’s effective ban on purchases of Micron Technology memory chips. She claims that they are working closely with allies to address such “economic coercion”. Raimondo has also said that the U.S. “firmly opposes” China’s actions against Micron and sees it as plain and simple economic coercion. U.S. lawmakers are urging Washington to strike back against China for its decision to bar Micron Technology’s memory chips.


The U.S. has previously banned exports to China of high-end chips and the technology to make them. Raimondo and her Chinese counterpart met on May 26, 2023, to discuss the issue, and Raimondo reiterated that Washington sees the ban as economic coercion and won’t tolerate it.

Why is the U.S. crying foul​

The US is kicking against Micron‘s ban by China for several reasons. Here are some key points from the search results:

• Lost revenue: A Reuters report claims that Micron warned that the ban on selling to Chinese companies working on key infrastructure projects could cost it as much as a “high single-digit” percentage of its annual revenue.
• Economic coercion: US Commerce Secretary Gina Raimondo said the US “won’t tolerate” the recent decision by China to ban chips by Micron Tech. Inc. in some critical sectors. She called it “economic coercion” and said Washington sees the action on Micron as having “no basis in fact”.
• Tensions between the US and China: According to thestarphoenix, the ban on Micron’s chips is seen as a retaliation against sanctions imposed by Washington and its allies on China’s chip sector.
• Impact on South Korea: South Korea, a major trade partner with China and a security partner with the US, is expected to respond to the Micron ban. Its companies, in particular Samsung and SK Hynix, have the most to gain from the Micron ban. The two companies stand to pick up customers from Micron.

Editor’s Opinion​

For many years, the U.S. has been banning Chinese brands and even tightening these bans from time to time. At the moment, Huawei can not sell its mobile phones in the U.S. but Apple is selling freely in China. The U.S. and its allies are spending billions of dollars to remove Chinese firms like Huawei and ZTE from their communication network. These have been going on for years without any major response from China. It was only a matter of time before China responds and do the same thing that the U.S. has been doing.


In all honesty, a layman can not verify “national security risk” claims by governments. The details that help to verify these things are often classified for good reasons in many cases. Thus, it is hard to tell. These bans are most likely part of a years-long escalation of US bans on Chinese tech that began with President Donald Trump and has continued under President Joe Biden’s administration.

Micron ban: US cries foul over China's 'economic coercion'

China has banned Micron Technology from doing business with Chinese brands, citing "national security risks"

www.gizchina.com

 

[Get Ya Wig Split]

Love it! US trade with China should drop to zero.

 

[beijingwalker]

Love it! US trade with China should drop to zero.

I agree. let Americans live in store age running out of everything.

 

[Get Ya Wig Split]

I agree. let Americans live in store age running out of everything.

Calm down dummy nearshoring is the future...

 

[kuge]

didnt usa Trump slap her economy coercion on europe after unilaterally breaking iran nuclear treaty?

 

[beijingwalker]

Calm down dummy nearshoring is the future...

Lol, dummy's future is no future, your trade deficit with China hits record high month on month.

 

[Get Ya Wig Split]

Lol, dummy's future is no future, your trade deficit with China hits record high month on month.

Nearshoring can fix this stupid clown

 

[beijingwalker]

Nearshoring can fix this stupid clown

lol, wait and see, this clown