Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

Skip to comments.

South Korean Chipmaker SK Hynix Halts Expansion Plans In China Due To U.S. Trade Restrictions
Zubu Brothers ^ | 11-20-21

Posted on 11/20/2021 12:26:23 PM PST by blam

It appears that the U.S. preventing companies like Intel from expanding their chipmaking operations in China is having an affect on other chipmakers globally.

That’s because South Korea’s SK Hynix, a top supplier of memory chips globally, has halted the installation of new production equipment in China as a result of American trade policies.

The company was planning on bringing extreme-ultraviolet lithography equipment to its Jiangsu Province plant, which makes about 40% of its DRAM chips, according to Nikkei.

But the company put a halt to the plans as a result of American measures that have been put in place to “restrict Chinese access to advanced technology that could boost its military power”.

Direct supply of EUV equipment to Chinese companies should be restricted, according to U.S. authorities. Dutch chipmaking equipment maker ASML held back deliveries in 2019 to Chinese chipmaker Semiconductor Manufacturing International Corp. as a result of the same concerns, the report notes.

Recall, just days ago, Chinese Foreign Ministry spokesman Zhao Lijian said at a press briefing in Beijing that the U.S. is “stretching the concept of national security” by preventing plans for expansion by semi companies like Intel.

Lijian said that the U.S. is using national security as a means to “build up trade barricades”.

Lijian also accused the Biden administration of forcing Samsung and Taiwan Semiconductor to hand over “sensitive information” related to their supply chains.

Recall, we wrote last week that Intel had proposed “using a factory in Chengdu, China, to manufacture silicon wafers,”. It could have been online by 2022, but the White House, “strongly discouraged” the move. Intel likely had to listen since the company is seeking government support in helping expand its capacity for manufacturing semis in the U.S.

Intel told Bloomberg it was now looking at “other solutions that will also help us meet high demand for the semiconductors essential to innovation and the economy.”

The company continued: “Intel and the Biden administration share a goal to address the ongoing industrywide shortage of microchips, and we have explored a number of approaches with the U.S. government. Our focus is on the significant ongoing expansion of our existing semiconductor manufacturing operations and our plans to invest tens of billions of dollars in new wafer fabrication plants in the U.S. and Europe.”

Days prior to this report, we wrote how U.S. firms were splurging on Chinese semi deals, drawing scrutiny from the White House.

U.S. venture capital firms have been “ramping up investments” in Chinese semiconductor companies despite the obvious security conflicts, a report from the Wall Street Journal said. Cumulatively, U.S. firms have helped raise “billions” for Chinese chip startups, we noted.

There has been more than 58 deals in China’s semiconductor industry from 2017 to 2020, we wrote. Among the “active investors” was Intel, who had invested in a Chinese company called Primarius Technologies Co., which makes chip-design tools that the U.S. currently holds the lead in making.

Intel told the WSJ last week that its China investments “are less than 10% of the deals in a global portfolio designed to support its business and generate return”.


TOPICS: Society
KEYWORDS: china; chips; intel; semiconductors
Ford And GM Could Soon Be Getting Into The Semiconductor Production Business
1 posted on 11/20/2021 12:26:23 PM PST by blam
[ Post Reply | Private Reply | View Replies]

To: blam

You cannot make Semiconductors with slaves. You absolutely need the best and the brightest people to make it happen. Tyranny will always suffer from brain drains. Until the machines themselves can make themselves liberty under the law is the way to go.


2 posted on 11/20/2021 12:45:15 PM PST by Nateman (If Left is not screaming , you are doing it wrong.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: blam

The cutting edge chips are currently in the 14 nanometer range. Silcon atoms are .2 nanometers across. The fabrication is therefore pretty close to the bottom of the possible. Moore’s law is about to end.


3 posted on 11/20/2021 12:49:58 PM PST by Nateman (If Left is not screaming , you are doing it wrong.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nateman
"The cutting edge chips are currently in the 14 nanometer range. Silicon atoms are .2 nanometers across."

TSMC to Start 3 nm Node Production This Year

TSMC Announces Breakthrough in 1-nm Semiconductor Manufacturing Process

4 posted on 11/20/2021 1:01:59 PM PST by blam
[ Post Reply | Private Reply | To 3 | View Replies]

To: blam

Not much more room at the bottom as Richard Feynman would have said.


5 posted on 11/20/2021 1:11:17 PM PST by Nateman (If Left is not screaming , you are doing it wrong.)
[ Post Reply | Private Reply | To 4 | View Replies]

To: Nateman

The cutting edge chips are currently in the 14 nanometer range.

Apple’s M1 chip is 5nm.


6 posted on 11/20/2021 1:13:38 PM PST by PIF (They came for me and mine ... now its your turn)
[ Post Reply | Private Reply | To 3 | View Replies]

To: PIF
I once worked at a Semiconductor Fab. I can't say for what company because of the contract I signed but I can say the pace of construction for it's new Fab was very hectic with plenty of conflict between the working teams. It's not for a lack of effort that production is sagging behind demand!
7 posted on 11/20/2021 1:23:03 PM PST by Nateman (If Left is not screaming , you are doing it wrong.)
[ Post Reply | Private Reply | To 6 | View Replies]

To: Nateman; PIF
When I retired from chip-making at the end of 1994, our most challenging size was 1.5 microns.
Even then, I would sit at the microscope looking in awe and near disbelief at what we were doing.
8 posted on 11/20/2021 1:29:16 PM PST by blam
[ Post Reply | Private Reply | To 5 | View Replies]

To: blam
Good news! Perhaps they'll expand in the ROK instead.It's a win/win!
9 posted on 11/21/2021 6:05:25 AM PST by Gay State Conservative (Covid Is All About Mail In Balloting)
[ Post Reply | Private Reply | To 1 | View Replies]

To: blam
In the 50s and 60s my Dad used to travel to Japan often to buy parts for cameras.In ‘59 he brought home to me a little Sony transistor radio.I was transfixed...as was my friend's Dad,who was an actual rocket scientist (and MIT graduate) who worked for a major defense contractor.
10 posted on 11/21/2021 6:09:23 AM PST by Gay State Conservative (Covid Is All About Mail In Balloting)
[ Post Reply | Private Reply | To 8 | View Replies]

To: Gay State Conservative
"In the 50s and 60s my Dad used to travel to Japan often to buy parts for cameras.In ‘59 he brought home to me a little Sony transistor radio.I was transfixed...as was my friend's Dad,who was an actual rocket scientist (and MIT graduate) who worked for a major defense contractor. "

Texas Instruments Announces 1st Transistor Radio, October 18, 1954

"Texas Instruments announced plans for the Regency TR-1, the first transistor radio to be commercially sold, on October 18, 1954.


11 posted on 11/21/2021 6:17:56 AM PST by blam
[ Post Reply | Private Reply | To 10 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson