US Commerce Secretary: States will not tolerate China’s ban on Micron chips

The United States will not tolerate a Chinese government ban on purchasing memory chips from US company Micron Technology, Washington is working closely with allies to combat such “economic coercion” writes Reutres, citing US Secretary of Commerce Gina Raimondo.

Raimondo said in a press conference after the Indo-Pacific trade ministers’ meeting that the US is “strongly in favor” of China’s actions against Micron. According to her, the PRC targeted one American company “for no reason at all.”

“We view this as mere economic coercion and we will not tolerate it and do not think it will be successful,” she said.

In May, the Chinese regulator banned to use in the country’s critical infrastructure the products of the American Micron Technology (MT), one of the leading manufacturers of memory chips. The corresponding statement was published by the Chinese Cyberspace Administration on May 21. Official reason: MT products have not passed the network security test. As a result, key infrastructure operators in China are no longer allowed to use them in their operations. The list of areas from which MT products will be excluded is quite extensive due to the fact that the Chinese authorities have a very broad understanding of the term “key infrastructure”. It can be telecommunications, transport, financial infrastructure and other areas.

Micron said in a press release that it has reviewed the Chinese authorities’ report and expressed hope for continued dialogue with Beijing. According to Reuters, the company’s losses after such a decision by the Chinese regulator will not be fatal.