Sunday, April 23rd 2023
U.S. Asks Samsung and SK Hynix Not to Support China's Ban on Micron Technology by Filling Shortfalls
Earlier this month, it was reported that the Chinese Government could retaliate to the U.S. ban on YMTC by banning Idaho-based Micron Technology from selling memory products to Chinese firms—something that can severely hit Micron's bottom-line if you consider the various smartphone brands and PC OEMs based out of China, not to mention foreign companies that manufacture the entire spectrum of consumer electronics in China.
While Beijing is still making up its mind on whether go ahead with this ban, Washington threw a wrench in the works, by "urging" South Korean memory giants Samsung and SK Hynix not to fill the shortfall in supply left by a ban on Micron. It stands to reason that a similar request has been made with Kioxia, which is majority-owned by Bain Capital. Therefore, if China were to ban Micron, it would have to do so only after scaling up production at YMTC to make up for the supply, or end up with a chip shortage that can hurt Chinese ICT and PC firms in the immediate aftermath of the ban.
Source:
Reuters
While Beijing is still making up its mind on whether go ahead with this ban, Washington threw a wrench in the works, by "urging" South Korean memory giants Samsung and SK Hynix not to fill the shortfall in supply left by a ban on Micron. It stands to reason that a similar request has been made with Kioxia, which is majority-owned by Bain Capital. Therefore, if China were to ban Micron, it would have to do so only after scaling up production at YMTC to make up for the supply, or end up with a chip shortage that can hurt Chinese ICT and PC firms in the immediate aftermath of the ban.
15 Comments on U.S. Asks Samsung and SK Hynix Not to Support China's Ban on Micron Technology by Filling Shortfalls
Oh well, we all know this thread will get locked anyway.
china literally makes 99% of all electronics thats imported to America.
China has the power to literally destroy any electronic company of the US if they want to.
becuase literally evrything from Apple's to Dell is made in china.
It's funny how foreigners always get Americans sooo, so wrong. Controlling the world? Pfft, faaarrr too self absorbed to care about the rest of the world.
Two points. Americans don't give two squirts about Micron or Chinas threats towards them. 99% have no idea who or what Micron is and worse yet, would likely claim they're foreign owned.
Point 2. The #1 rule of business. You never ever mess with the money. Without those American dollars, Chinas manufacturing sector and economy, goes kaput. Your theory is economic suicide. Sabotaging one company would immediately start an American exodus. XI is alot of things, stupid he is not. He knows his nations reign as the worlds cheap labor/manufacturing clearinghouse is on borrowed time. 1st world countries are on notice, relying on one source is dangerous and foolish. Xi knows that's the mindset and isn't going to jeopardize the current cash flow if he can help it. In fact, he is going to do everything possible to encourage more (smaller)countries to invest in Chinese manufacturing. It's no coincidence that he's suddenly flirting with every foreign leader under the sun. That among other things not appropriate for this thread.
It's like hitting the dog for being violent making the dog even more violent
Trade is no different. We play nice until that's no longer a valid way to win the game. Then we stop playing nice, until a new status quo is reached. Expecting ANY government to play nicer than that is naive. We don't work that way, our systems don't support that either, despite all the fancy talk about how great rules and regulations are. The moment one party crosses that line, everyone does. Who was first in the trade business to cross the line? An interesting question, complex as well.
china would have already started to prepare for the worse and become self-independent from rest of the world. even if it means "without American technology" after 20 years.
Hynix, Samsung Electronics: