Wed, 07 Jun 2023

China: Manufacturers to stop using US-made Micron chips

Robert Besser
24 May 2023, 15:20 GMT+10

BEIJING, China: Amid its feud with Washington over technology and security, the Chinese government told manufacturers of computer equipment to stop using products made by Micron Technology, the largest memory chip-manufacturer in the US.

On its website, the Cyberspace Administration of China said that Micron products have unspecified "serious network security risks" that pose hazards to China's information infrastructure and affect national security.

"Operators of critical information infrastructure in China should stop purchasing products from Micron," the agency added.

Amid threats from President Xi Jinping's government to attack Taiwan and its increasingly assertive posture toward Japan and other neighbors, the US, Europe and Japan are reducing Chinese access to advanced chip-making and other technologies.

Chinese officials have warned of unspecified consequences, but due to the risk of damaging China's smartphone producers and other industries, and the efforts to develop its own processor chip suppliers, Beijing has struggled to find ways to retaliate.

Chinese police have recently raided two consulting firms, Bain & Co. and Capvision, and a due diligence firm, Mintz Group, causing concern among foreign companies conducting business in China.

Chinese authorities have declined to explain why the raids occurred, but said foreign companies are obliged to obey the law, causing business groups and the US government to ask authorities to explain legal restrictions on information and how they will be enforced.

Therefore, the latest announcement aimed to reassure foreign companies.

"China firmly promotes high-level opening up to the outside world and, as long as it complies with Chinese laws and regulations, welcomes enterprises and various platform products and services from various countries to enter the Chinese market," the country's cyberspace agency said.

In March, Xi accused Washington of trying to stifle China's development, calling on the Chinese people to "dare to fight."

Beijing is investing billions of dollars into accelerating Chinese chip development and reducing reliance on foreign technologies.

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