The U.S. Commerce Department has tightened its grip on high-tech equipment export restrictions.
The U.S. government increased technology export restrictions into China today, in a move that delivered crushing blow to Korean manufacturers Samsung and SK Hynix. The restrictions specifically affect production of memory (DRAM) and storage chips (NAND) that are in manufactured inside China.
Until today, both Samsung and SK Hynix enjoyed a „Validated End User“ (VEU) waiver when it came to exporting chip-making and related technologies from the U.S. to China. That means they could ship said equipment into China with few restrictions, and importantly, didn’t have to apply for approval every time they did so.
The waiver was issued in 2023 during the Biden administration, but as of today, the companies now have 4 months (120 days) until it expires.
