SMIC, one of largest chip makers in the world, is among several companies that the Department of Defense plans to designate as being owned or controlled by the Chinese military, reports Reuters. Earlier this month, President Donald Trump signed an executive order, set to go into effect on January 11, that would bar U.S. investors from buying securities from companies on the defense blacklist.
In a statement to Reuters, SMIC said it continues “to engage constructively and openly with the U.S. government” and that it “has no relationship with the Chinese military and does not manufacture for military end-users or end-uses.”
The largest semiconductor maker in China, SMIC holds about 4% of the worldwide foundry market, estimates market research firm TrendForce. Its U.S. customers have included Qualcomm, Broadcom and Texas Instruments.
There are currently 31 companies on the defense blacklist. SMIC is one of four new companies that the Department of Defense plans to add, according to Reuters. The others are China Construction Technology, China International Engineering Consulting Corp and China National Offshore Oil Corp (CNOOC).
The company delisted from NYSE in May 2019, …read more
Source: Tech Crunch