U.S. allows Samsung, SK Hynix to supply semiconductor equipment to China factories

South Korea's presidential office said on Monday that the United States has decided Samsung Electronics and SK Hynix, two major South Korean chip companies, can supply semiconductor equipment to their China factories without separate approval, Yonhap news agency reported.

The move is the latest development after the U.S. Department of Commerce unveiled rules in October 2022 that require a license for export, re-export or transfer (in-country) to China items including manufacturing equipment and support for DRAM chips 18 nanometer and below, NAND chips with 128 layers or more, and logic chips 14nm and below.

SK Hynix said in a statement "We welcome the U.S. government's decision to extend a waiver with regard to the export control regulations. We believe the decision will contribute to the stabilization of the global semiconductor supply chain."