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US cancels Samsung and SK Hynix chip licenses in China

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Washington says the move is about national security, aiming to slow China’s semiconductor progress and keep cutting-edge tools out of potential military use.
The US-China trade war is once again putting pressure on the global chip industry, and this time two of South Korea’s biggest names are in the spotlight. Samsung and SK Hynix face fresh restrictions that could complicate their operations in China, one of their key markets.
The US Commerce Department said it will revoke licenses that previously allowed Samsung and SK Hynix to bring in US-made chipmaking equipment for their Chinese plants. The decision, which takes effect in 120 days, doesn’t shut down their factories but does block them from upgrading or expanding with new American tools.
That’s a big deal for Samsung’s NAND flash operations in Xi’an — a site that reportedly accounts for around 40% of its global output — as well as for SK Hynix’s DRAM production.

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