Beijing’s Wise Road Capital and South Korea's Magnachip Semiconductor Corporation terminated their merger, the two companies said this week. They received permission to withdraw their filing with the Committee on Foreign Investment in the U.S. after being told that CFIUS would not approve Wise Road’s acquisition of Magnachip.
The Office of Foreign Assets Control imposed investment restrictions on SenseTime Group Ltd., a major Chinese technology company, and sanctioned 15 people and 10 other companies for human rights abuses, the agency said Dec. 10. SenseTime, which had prepared to price shares Dec. 10 in its initial public offering in Hong Kong, will now be subject to a U.S. investment ban and added to OFAC’s list of companies with ties to China’s military (see 2106030067).
The European Union should better align its definition of “basic scientific research” with the U.S.'s to create a more level playing field under U.S. and EU export regulations, said Aude Jalabert of the European Semiconductor Industry Association. Jalabert, speaking during the EU’s annual export control forum Dec. 8, said the EU’s definition is “stricter and maybe more narrow than some foreign definitions,” and only exempts “very basic technology and research fields.”
The U.S. and Taiwan will work together on a new Technology Trade and Investment Collaboration framework, which will look to “strengthen critical supply chains,” including those involving semiconductors, the Commerce Department said Dec. 6. The framework, announced after a call between Commerce Secretary Gina Raimondo and Taiwan Minister of Economic Affairs Mei-hua Wang, will look to promote Taiwan investment in the U.S., Commerce said.
Export Compliance Daily is providing readers with the top stories for Nov. 29 - Dec. 3 in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
The U.S. needs to work with global trading allies to find long-term fixes to the supply chain crisis that will transcend future American administrations, Matt Murray, senior bureau official in the State Department’s Bureau of Economic and Business Affairs, told the Global Trade and Innovation Policy Alliance summit in a keynote Dec. 2. “We can’t just look at supply chain issues and say we need to fix it by Christmas because there are these short-term disruptions,” he said.
The Commerce Department is seeking nominations for a new Industrial Advisory Committee on microelectronics research development, manufacturing and policy, the agency said this week. The committee, to be composed equally of representatives from the semiconductor industry, federal laboratories and academic institutions, will advise the administration on how best to maintain U.S. leadership in microelectronics manufacturing and support the semiconductor sector. The agency will accept committee nominations on an ongoing basis “and will be considered as and when vacancies arise.”
More than 50 technology and auto companies urged congressional leaders to fund the CHIPS for America Act and pass a “strengthened version” of the Facilitating American Built Semiconductors Act, saying they would provide a much-needed boost to the U.S. semiconductor industry amid the global chip shortage. The companies -- including Apple, Microsoft, Ford, IBM and Taiwan Semiconductor Manufacturing Company (TSMC) -- said chip demand has “outstripped supply, creating a global chip shortage and resulting in lost growth and jobs in the economy.” It has also “exposed vulnerabilities in the semiconductor supply chain,” they said, which has highlighted the need for a more robust chip manufacturing base in the U.S.
The U.S. and the European Union should pursue multilateral export controls, reexamine restrictions on certain munitions-related items and work together to better harmonize decisions on license denials, industry and academia said. The U.S. and EU released a joint summary Dec. 1 of those recommendations, which were made during an Oct. 27 virtual meeting on dual-use export controls (see 2110190020) to discuss areas of priority for the U.S.-EU Trade and Technology Council.
Indiana Republican Sen. Todd Young, who co-led the Endless Frontier bill with Majority Leader Sen. Chuck Schumer of New York, said he hopes to learn more soon about when conferees might be named to negotiate a compromise between the House and the Senate approaches to a China package. "I'm supposed to huddle up with Sen. Schumer today. I need to approach him. I have not had an opportunity to personally chat with him about the state of things," Young said in a brief hallway interview Nov. 30.