Image Source : China Visual

BEIJING, October 13 (TMTPOST) – Three foreign companies, Samsung, Hynix, and Intel, which have factories in China, have now been exempt from the restrictions in the U.S. export control policy after consultation with the U.S. Department of Commerce.

The United States tightened its export controls on China's semiconductor industry last Friday, including restrictions on the export of production equipment, which is used to produce sub-18 nanometer DRAM (Dynamic Random Access Memory), 128+ layer NAND flash memory chips, and sub-14 nanometer logic chips in China.

On Thursday, South Korean memory chip maker SK Hynix said in a statement sent to Chinese media Caixin that the company has completed negotiations with the U.S. Department of Commerce to ensure the supply of semiconductor production equipment for Chinese factories without obtaining individual licenses in the next year. "SK Hynix will continue to work closely with the Korean government and the U.S. Department of Commerce to do its utmost to secure the operation of the China plant while following international principles." The company said in a statement.

On the same day, U.S. chip maker Intel also said via Twitter that it had received a one-year authorization from the U.S. Department of Commerce on Tuesday to continue operating Intel's NAND flash memory plant in Dalian, China.

Samsung has also obtained a similar authorization with Hynix and Intel.

The Bureau of Industry and Security (BIS) under the U.S. Department of Commerce issued a number of export controls on China last Friday, aimed at slowing China's push to develop its own chip industry, blacklisting more companies, and imposing new restrictions on related technologies.

According to the new regulations, the U.S. added certain semiconductor manufacturing equipment and related items to its Commerce Control List (CCL). Semiconductor manufacturing "facilities" in China that produce integrated circuits which meet certain thresholds will be subject to new licensing requirements for exports to those facilities.