Key insights
- Micron is lobbying Congress to pass the MATCH Act, which aims to restrict exports of chipmaking equipment to Chinese firms like ChangXin, Yangtze Memory, and SMIC. The legislation seeks to align foreign companies with US export restrictions. This action, framed as a national security matter, could hinder China's memory chip development but also potentially invite retaliatory measures, negatively impacting US semiconductor companies' revenue.
Investing.com - Micron Technology (NASDAQ:MU) is leading efforts to persuade the U.S. Congress to pass legislation imposing new export restrictions on equipment used by Chinese chipmakers, Reuters News reported on Wednesday.
A U.S. House of Representatives panel on Wednesday began a session to vote on the "MATCH Act," a bill designed to close gaps in restrictions on chipmaking equipment. The legislation would also pressure foreign companies that sell equipment to Chinese chipmaking facilities to align with export curbs on U.S. companies like Lam Research (NASDAQ:LRCX) and Applied Materials (NASDAQ:AMAT).
The bill targets facilities operated by China’s ChangXin Memory Technologies, Yangtze Memory Technologies, and Semiconductor Manufacturing International Corp (SEHK:0981). The legislation also covers critical technology countrywide.
Micron has told lawmakers that Washington needs to do more to inhibit Chinese development in the memory market, the report said citing people familiar with the matter. The report said increased U.S. action is necessary to prevent China from dominating memory chip manufacturing the way it has the solar energy industry and other sectors.
Micron described the issue as a national security matter, according to the report.
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