Apple freezes plans to buy memory chips from China’s YMTC after US imposes export controls

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Apple freezes plans to buy memory chips from China's YMTC after US imposes export controls

Apple has frozen plans to use chips from one of China’s top memory chip makers after tougher US export controls were imposed on China’s technology sector, reports Nikkei.

According to the report, Apple intends to purchase a 128-layer 3D NAND flash memory chip from Yangtze Memory Technologies (YMTC) for use in iPhones sold in the Chinese market earlier this year, with the possibility of eventually purchasing up to 40% of the chips needed for all iPhones.

Apple had completed a months-long process to authorize the memory before Washington earlier this month added YMTC and 30 other Chinese entities to its list of “Unverified” companies that US officials could not vet. US companies are prohibited from sharing any designs, technology, documents or specifications with companies on the Unverified List without a license.

Tighter controls have increased tensions with Beijing, as companies unable to provide the necessary information within 60 days could be added to an official US export control blacklist. YMTC is also being investigated by the US Commerce Department over whether it violated Washington’s export controls by selling chips to Huawei, which is already blacklisted.

Export controls in China imposed by the Biden administration are an attempt to slow the country’s technological and military progress by cutting off Beijing’s supply of certain semiconductor chips made anywhere in the world with US equipment. Apple and YMTC not responding Nikkeicomment request.

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