The Chinese government announced that Micron products are considered a national security concern and will be prohibited for sale to China’s major information infrastructure operators.
The decision comes seven weeks after Chinese regulators began a cybersecurity review of Micron’s products. The move is believed to be a response to the United States placing stricter restrictions on chip exports to China.
Micron said it “look forward to continuing to engage in discussions with Chinese authorities.”
The US Commerce Department said it “firmly opposes restrictions that have no basis in fact” in a statement, calling the Micron ruling and recent “raids and targeting of other American firms” inconsistent with Beijing’s claimed commitment to openness and transparency in its regulatory framework.
“We will engage directly with PRC authorities to detail our position and clarify their action,” the department said. “We also will engage with key allies and partners to ensure we are closely coordinated to address distortions of the memory chip market caused by China’s actions.”
In March, the Cyber Security Review Office of Cyberspace Administration of China (CAC) began an investigation into Micron products. However, they did not reveal which products were reviewed or the methods used during the review process.
According to reports, a cybersecurity review found that the US memory chip company did not meet the necessary security standards required to sell its products to China’s critical information infrastructure operators (CIIOs).
These operators include various entities such as telecom operators, banks, and water utilities, all of which are considered significant to China’s national security and the well-being of its people. Several sectors, including communication, information services, energy, transport, water resources, and finance, fall under the purview of the CIIO regulations in China.
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