BEIJING: China said products made by the United States memory chip giant Micron Technology are a national security risk.
According to the BBC, the country’s cyberspace regulator on Sunday announced that America’s massive maker of memory chips poses “serious network security risks.”
The firm’s products will be banned from critical infrastructure projects in the world’s second-largest economy. It is China’s first significant move against the United States chip maker as tensions increase between Washington and Beijing.
The Cyberspace Administration of China (CAC) said, “The review found that Micron’s products have serious network security risks, which pose important security risks to China’s critical information infrastructure supply chain, affecting China’s national security.”
The CAC didn’t give information on the risks it said it had found and in which Micron products it had found them.
A Micron spokesperson told the BBC the company had “received the CAC’s notice following its review of Micron products sold in China.”
“We’re evaluating the conclusion and assessing our next steps. We look forward to continuing discussions with Chinese authorities,” they added.
In response, the US government said it would work with partners to address “distortions of the memory chip market caused by China’s actions.”
US Commerce Department spokesperson said, “We firmly oppose restrictions that have no basis.”
It added, “This action, along with recent raids and hitting of other American industries, is inconsistent with [China’s] assertions it is opening its markets and committed to a transparent regulatory framework.”
The announcement from the CAC is a new development in an ongoing dispute between Beijing and Washington, which has seen the United States impose several measures against China’s chip-making firm.
The CAC’s announcement came a day after G7 leaders meeting in Japan issued a joint statement criticizing China, including its use of “economic coercion.”
On Sunday, United States President Joe Biden said G7 nations were looking to “de-risk and diversify our relationship with China.” He added, “That means diversifying our supply chains.”
Micron chief executive Sanjay Mehrotra attended the summit in Hiroshima as part of the group of business leaders.
Last week, the company said it would invest around 500bn yen to develop technology in Japan.
