Companies that supply precision and expensive instruments to the chip industry are planning to warn the trump administration that blacklisting SMIC, China’s largest chip maker, would harm the US, Reuters reported yesterday. Semi, the international semiconductor industry association, drafted the letter warning the trump government on behalf of many chip companies. < p > < p > semi is a global industry association dedicated to promoting the overall development of the supply chain of microelectronics, flat panel display and solar photovoltaic industries. It has more than 2400 members worldwide, including manufacturing, equipment, materials and service companies of the above industry supply chain, including SMIC international and American chip equipment manufacturers and materials companies. According to Reuters, SMIC purchases as much as $5 billion of equipment and materials annually in the United States, and adding SMIC to the list of entities will make it more difficult for the United States to provide products for SMIC, thereby undermining its technological advantage. The letter also said that the move would make people increasingly feel unreliable in the delivery of U.S. goods, which would also affect people’s perception of the strength of the U.S. economy. “We urge the Department of Commerce to seriously consider adding SMIC to the entity list, as this may have direct and long-term adverse effects on US industry, economy and international security.” < / P > < p > previously, the United States has listed more than 300 Chinese enterprises in the entity list. With the increase of Chinese enterprises subject to sanctions, the impact on the upstream enterprises of the United States will be more and more serious. Dan Hutcheson, chief executive officer of VLSI research, a semiconductor industry research firm, said that the trump government’s restrictions on Huawei have led to a serious inventory backlog of us chip companies, while the US Senate’s $22.8 billion assistance for the chip industry is less than half of what the industry needs, and the real gap is about $50 billion. < / P > < p > < p > “entity list” not only affects the economy of the United States, but also affects semiconductor manufacturers in Japan, South Korea and other countries. Last year, Huawei purchased more than 10 billion US dollars of semiconductor equipment and materials from Japan and South Korea, and now faces a huge revenue gap due to the “entity list”. The U.S. Department of commerce did not immediately respond to comments on the leaked draft letter, and Joe Pasetti, semi’s vice president for global public relations, also said he would not comment on the draft letter leaked to the media. But the letter will reach commerce minister Wilbur Ross as soon as this week, according to Reuters. A Pentagon spokesman said action against SMIC would force U.S. suppliers to obtain a special license before providing technology and products to the company, which was “difficult to obtain.”. This is what semi is worried about.

news has been released, SMIC immediately released “SMIC’s foreign media report that the US government considered the inclusion of the company in the trade blacklist” statement, said:

SMIC is an integrated circuit manufacturing enterprise that is internationally operated on the Hongkong stock exchange and the Chinese mainland A shares. The company strictly adhered to the relevant countries and regions. On the basis of laws and regulations, it has been operating in accordance with laws and regulations; it has established good cooperative relations with many well-known semiconductor equipment suppliers in the United States and the world for many years. The U.S. Department of Commerce has issued a number of important export licenses for the equipment imported and purchased by SMIC for many years. The statement also said that SMIC had never conducted any business activities involving military applications since its establishment and had nothing to do with the Chinese military. SMIC was also a “validated end user” officially recognized by the U.S. Department of Commerce in 2016 and before. < p > < p > on the first day of the day when Huawei’s chips were completely cut off on September 15, SMIC also said to the outside world that “the company has applied to the US side for continued supply of Huawei in accordance with the regulations, and reiterated that it will strictly abide by the laws and regulations of relevant countries and regions.” < / P > < p > SMIC did this because some special machines in the company’s chip factory were manufactured by American companies such as applied materials. Although the company already owns the equipment, it still needs to obtain the permission of the president of the United States to use it. < / P > < p > some netizens did not understand SMIC’s response and practice. They thought SMIC, as a Chinese company, should be more rigid. Hu Xijin, editor in chief of the global times, believes that under such circumstances, it should be their right for the relevant Chinese enterprises to take the response that they think is most beneficial to the interests of the company according to their own situation. Hu Xijin also said that the United States has no sympathy for Chinese enterprises, especially wants to kill China’s leading enterprises. At this time, we should pay special attention to those Chinese enterprises and support and accommodate them more than blame them at this time. Global Tech