2024-04-22 04:01:40
US Congressman: We must stop issuing licenses to Huawei
ASML, the proportion of sales to the public increases… Effectiveness of public regulation↓
Recently, as it became known that China’s Huawei’s artificial intelligence (AI) laptops were equipped with Intel’s latest semiconductor chips, criticism that sanctions against China should be strengthened, led by the US Republican Party, is growing. Although the U.S. government imposed semiconductor sanctions against China, half of the sales of Dutch ASML, the world’s largest equipment company, came from Chinese companies, raising controversy over the effectiveness of sanctions against China.
According to the industry on the 22nd, U.S. Republican lawmakers are increasingly criticizing the Biden administration after Huawei, China’s largest telecommunications equipment company, revealed that its laptop ‘MateBook X Pro’ this month is equipped with Intel’s latest ‘Core Ultra 9 processor’. .
The United States placed Huawei on its trade restrictions list in 2019 for violating sanctions against Iran. In order for Huawei to receive semiconductors from American companies, it must obtain a special license.
However, after Intel received a license to supply central processing units (CPUs) to Huawei in 2020 and has maintained it to this day, hardliners in the United States have demanded cancellation of the license.
Republican Representative Michael Gallagher called for a ban on exports to China, saying, “The biggest mystery in Washington DC is why the Department of Commerce continues to allow American technology to Huawei.”
Elise Stefanik, a member of the House of Representatives from the same party, said regarding the inclusion of Intel chips in Huawei laptops, “The Department of Commerce has clearly given a green light to chip exports to China.” Representative Michael McCaul also criticized, saying, “This type of approval must be stopped. I heard that Huawei’s license issuance would be stopped two years ago, but there has been no change at all.”
Although the U.S. government has been imposing sanctions on China for several years, negative perceptions about the current China strategy are spreading in U.S. political circles.
The U.S. Department of Commerce declined to comment. Despite the growing backlash in the United States, it appears that Huawei will continue to receive Intel’s latest chips for the time being as the government has not taken active steps to resolve the backlash.
Meanwhile, the U.S. government is pressuring the Dutch government to stop Dutch equipment company ASML from providing maintenance and repairs to equipment exported to China, but it has been revealed that half of ASML’s sales are made up of Chinese companies.
China accounted for 49% of ASML’s sales by country in the first quarter. It increased by 10 percentage points compared to the sales share in the fourth quarter of last year (39%). This is more than the combined proportions of Korea, Taiwan, and the United States. Despite pressure from the United States, ASML’s equipment sales in China increased.
Applied Materials, a leading U.S. equipment company, also accounted for 44% of its total sales in China during the same period. This company was also investigated on charges of exporting equipment to a Chinese company while evading regulations at the end of last year. As China imports equipment using sanctions loopholes and expedients, U.S. sanctions are being neutralized.
Last August, controversy arose when a SK Hynix chip was discovered in Huawei’s latest phone, the Mate 60 Pro. In addition, it was analyzed that China’s 7-nano process chips from Chinese foundry company SMIC were used at the time, allowing China to overcome U.S. export restrictions and establish its own supply of cutting-edge chips.
An industry official said, “The current U.S. regulation of China is ineffective, so strategy revision will be necessary,” and added, “China will accelerate the installation of advanced chips through its own technological capabilities and expedients.”
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2024-04-22 04:01:40