Samsung Electronics and SK Hynix have invested billions of dollars in China.
The U.S. is expected to extend the China waiver granted to semiconductor chip manufacturing companies, Samsung Electronics and SK Hynix. The waiver is on licenses required to bring U.S. chip equipment and tools into China.
The details of required equipment have been discussed between the chip-makers and the U.S. Commerce Department. The department will update their valid end user list to extend the waiver. The announcement for the same is expected this week.
Last year, without seeking additional licenses, the chip-makers had received authorisation from the U.S. to supply equipment needed for chip production in China. After being added to the list, permission for separate export cases will not be required.
Samsung Electronics has NAND flash memory production in Xian, China. SK Hynix has DRAM chip production in Wuxi and NAND flash production in Dalian.
Samsung Electronics is a South Korean multinational major appliance and consumer electronics corporation.
SK Hynix Inc. is a South Korean supplier of dynamic random-access memory (DRAM) chips and flash memory chips.