China restricts purchases of products from the American Micron

U.S. memory chip maker Micron Technology’s products have not passed security checks, so key infrastructure operators in China will no longer be able to purchase them, China’s Cyberspace Administration (CAC) said.

According to Reuters, which refers According to the regulator’s statement, according to the broad definition of critical information infrastructure in China, the ban on the purchase of Micron products could affect various sectors, “from transport to finance.” The regulator did not specify what type of company or area of ​​business the restriction would apply to.

“The review found that Micron’s products have significant network security risks that pose significant security risks to the supply chain of China’s critical information infrastructure and impact China’s national security,” CAC said in a statement.

Micron said it has received a regulatory notice that it has completed review of the company’s products sold in China and “looks forward to continuing negotiations with Chinese authorities,” the agency said.

On April 2, China’s Cyberspace Administration began investigating Micron for “national security reasons.” The official purpose of the investigation is to test the “security of the infrastructure supply chain in the transmission of key information.” It is known that mainland China and Hong Kong brought to this company in 2022 25% of revenue from total sales of $30.8 billion, and as a result, if Beijing takes a radical action, it will take a significant hit. As the FT wrote, US officials and business representatives see CAC’s actions as China’s response to US actions to limit access to the acquisition of advanced semiconductors and technologies for their production. In addition, according to the South China Morning Post, Micron was one of the main lobbyists for the US President Joe Biden’s August 2022 Chip Act (which provides for $52 billion to fund local chip manufacturing in the US).