Trump administration weighs blacklisting China's chipmaker SMIC

Exclusive Trump administration weighs blacklisting China's chipmaker SMIC

Exclusive Trump administration weighs blacklisting China's chipmaker SMIC

Electronic circuit board with electronic components such as chips close up.

China's leading maker of semiconductors has denied it has any links to the military following reports Washington is considering stepping up its feud with Beijing over technology and security by imposing export controls that could disrupt manufacturing for a national industrial champion.

SMIC said in a statement on Saturday it was "in complete shock" over the news but was open to communication with USA government agencies in hopes of resolving any misunderstandings.

SMIC and the Chinese Embassy in Washington did not respond to requests for comment.

SMIC is just the latest Chinese tech company to come under attack by the Trump administration, which has already placed companies such as phone-maker and high-speed internet provider Huawei, phone-maker ZTE and broadband internet and data control center operator Dr. Peng Telecom on the list, alongside dozens of others. The United States and other governments complain Chinese development plans are based on stealing or pressuring foreign companies to hand over technology. It has sought to build out foundries for the manufacture of computer chips that can compete with TSMC.

Rihanna 'healing quickly' following electric scooter accident
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SMIC is a publicly-held company and has collaborated extensively with firms on the blacklist, including Huawei.

Residents wearing mask to protect themselves from contracting the coronavirus pass by a Chinese military propaganda display in Beijing on Wednesday, Aug. 26, 2020.

The U.S. has imposed similar access restrictions on U.S. components for China's Huawei Technologies, one of the biggest network equipment and smartphone manufacturers.

"We have no relationship with the Chinese military", the company said in its official WeChat account, "Any assumptions of the Company's ties with the Chinese military are untrue statements and false accusations".

The Defense Department has released two lists of Chinese companies in the past few months that it claims are owned or controlled by the People's Liberation Army.

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