South Korean companies get indefinite waiver on US chip gear supplies

Samsung Electronics and SK Hynix will be permitted to supply U.S. semiconductor equipment to their China operations without obtaining additional U.S. permits, the South Korean presidential office said.

It was expected that the US will extend a waiver granted to South Korean semiconductor manufacturers regarding the requirement for permits to import US chip equipment into China.

“Uncertainties concerning South Korean semiconductor businesses’ operations and investments in China have been considerably reduced; they will be able to explore long-term global management plans peacefully,” Choi Sang-mok, senior presidential secretary for economic affairs, said.

According to Choi, the US has already notified Samsung and SK Hynix of the judgment, indicating that it is now in effect.

According to the presidential office, the US Department of Commerce is amending its ‘validated end user’ list, which indicates which firms may receive exports of specific technology, to allow Samsung and SK Hynix to continue selling some US chipmaking equipment to their China facilities.

There is no need to get clearance for distinct export instances once they are included in the list.

The world’s largest and second-largest memory chip producers, Samsung and SK Hynix, had spent billions of dollars in their chip production facilities in China and applauded the move.