China Expresses Strong Displeasure Over US Revocation of VEU Authorisation for Major Semiconductor Firms
Beijing, China – September 1, 2025 – China has formally lodged a strong protest against the United States following the recent decision to revoke the Validated End-User (VEU) authorisation for several prominent semiconductor manufacturers, including Intel, Samsung, and SK Hynix. The Ministry of Commerce of the People’s Republic of China issued a statement today expressing significant concern and criticism regarding this move, which it deems detrimental to established global trade practices and the stability of the semiconductor supply chain.
The VEU system, a mechanism designed to facilitate the export of sensitive technologies to designated end-users in China, has been a cornerstone of bilateral trade in the high-tech sector for many years. The revocation of this authorisation for Intel, Samsung, and SK Hynix, all of which have substantial manufacturing and operational footprints within China, is viewed by Beijing as a retrograde step that disrupts long-standing commercial relationships and introduces an element of uncertainty into an already complex global industry.
Sources close to the Chinese government indicate that the decision by the U.S. Department of Commerce has been met with considerable dismay. Representatives from Beijing have emphasized that these companies are vital contributors to China’s domestic semiconductor industry, providing essential components and fostering technological advancements. The abrupt withdrawal of their VEU status is seen as an unwarranted interference in normal business operations and a potential impediment to innovation and economic growth.
In its official statement, China’s Ministry of Commerce highlighted the perceived lack of transparency and justification accompanying the U.S. decision. The ministry called for a more collaborative and dialogue-based approach to managing technology-related trade issues, stressing that unilateral actions can have far-reaching negative consequences for all parties involved. China maintains that its commitment to ensuring the secure and responsible use of imported technologies remains unwavering and that its domestic partners operate under strict regulatory frameworks.
The semiconductor industry is a critical pillar of the global economy, underpinning advancements in areas ranging from artificial intelligence and telecommunications to automotive and consumer electronics. Intel, Samsung, and SK Hynix are not only major global players but also significant employers and investors in China. The implications of this VEU revocation are therefore likely to extend beyond mere administrative changes, potentially impacting production schedules, R&D initiatives, and the overall competitive landscape.
Chinese officials have further expressed their readiness to engage in constructive discussions with their U.S. counterparts to address any underlying concerns. However, they have also signaled that China will explore all necessary measures to safeguard its legitimate economic interests and the stability of its industrial base in response to actions that are perceived as discriminatory or protectionist. The international business community will be closely monitoring the developments and the potential ripple effects of this U.S. policy shift on global semiconductor trade and collaboration.
China slams US revocation of VEU authorisation for Intel, Samsung and Hynix
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Electronics Weekly published ‘China slams US revocation of VEU authorisation for Intel, Samsung and Hynix’ at 2025-09-01 05:28. Please write a detailed article about this news in a polite tone with relevant information. Please reply in English with the article only.