Hong Kong (CNN) China has launched a cybersecurity investigation into Micron Know-how, one in every of America’s largest reminiscence chip makers. in obvious retaliation after US allies in Asia and Europe introduced new restrictions on key know-how gross sales to Beijing.
The Our on-line world Administration of China (CAC) will assessment merchandise offered by Micron within the nation, the watchdog stated in an announcement late Friday.
The transfer goals to “make sure the safety of provide chains of key info infrastructure, forestall cybersecurity dangers from hidden product points, and preserve nationwide safety,” it stated.
It got here on the identical day that Japan, a US ally, stated it could prohibit exports of superior chipmaking tools to nations like China, after the US and the Netherlands took comparable steps.
Washington and its allies have introduced restrictions on China’s semiconductor trade that go to the center of Beijing’s quest to turn into a tech superpower.
Final month, the Netherlands additionally unveiled new restrictions on abroad gross sales of semiconductor know-how, citing the necessity to shield nationwide safety. In October, the US banned Chinese language firms from shopping for superior chips and chip-making tools with out a license.
Micron advised CNN that it was conscious of the assessment.
“We’re in communication with the CAC and are absolutely cooperating,” it stated, including that it stands by the security of its merchandise. “Micron’s product delivery, engineering, manufacturing, gross sales and different capabilities are working as normal.”
Micron Know-how Shanghai workplace in August 2019
shares in Micron fell 4.4% on Wall Road on Friday following the information, its largest drop in additional than three months. They closed one other 1.2% decrease on Monday. Micron generates greater than 10% of its gross sales in China.
In a earlier submitting, the Idaho-based firm warned of such dangers.
“The Chinese language authorities may forestall us from collaborating within the Chinese language market or from competing successfully with Chinese language firms,” it stated final week.
China has slammed restrictions on know-how exports, saying final month it “strongly opposes” such measures.
To spur development and job creation, Beijing is searching for overseas funding because it grapples with mounting financial challenges. Newly minted Premier Li Qiang and several other prime enterprise officers rolled out the welcome cart for international CEOs, promising they might “present surroundings and companies.”
However Beijing can also be placing rising stress on overseas firms to deliver them into line with its agenda.
Final month, authorities shut down the Beijing workplace of Mintz Group, a US company intelligence agency, and arrested 5 native staff.
Days earlier, they suspended Deloitte’s operations in Beijing for 3 months and fined it $31 million over alleged failures to audit a state-owned distressed debt supervisor.
CNN’s Michelle Toh, Junko Ogura, Sandi Sidhu and Chris Lau contributed to the article.