China's Chip Sector Faces Possible Impact as SMIC Assesses Export Restrictions Placed by U.S.

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SMIC made formal announcements assessing the Commerce Department's notification to SMIC's suppliers that they will be restricted from shipping certain U.S.-originated equipment, components, and raw materials to the Chinese foundry...

www.eetasia.com, Oct. 05, 2020 – 

On October 4, 2020, SMIC made formal announcements assessing the Commerce Department's notification to SMIC's suppliers that they will be restricted from shipping certain U.S.-originated equipment, components, and raw materials to the Chinese foundry, according to TrendForce's latest investigations. U.S.-based semiconductor equipment suppliers, including Applied Materials, Lam Research, and KLA, are expected to bear the brunt of the impact from the latest sanction against SMIC, while Netherlands-based ASML will be affected as well, since its machines contain U.S.-originated key components. By contrast, TrendForce's preliminary analysis indicates that the export restrictions will likely have less of an impact on suppliers of silicon wafers and other raw chemical materials for semiconductors, since these suppliers are mostly Japanese and European companies.

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