US Lawmakers Seek Transparency on Semiconductor Exports to China Amid National Security Concerns
Top US lawmakers are pressing major semiconductor manufacturing equipment (SME) companies for detailed information on their business dealings with China. In a letter, Chairman John Moolenaar (R-MI) and Ranking Member Raja Krishnamoorthi (D-IL) of the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party (CCP) expressed concerns over the growing sale of semiconductor equipment to China, highlighting potential national security risks.
The inquiry targets leading SME firms, including KLA, Applied Materials, Lam Research, Tokyo Electron, and ASML. Lawmakers fear that these transactions could significantly benefit China’s People’s Liberation Army (PLA) by advancing semiconductor technology critical for artificial intelligence and military applications, thereby weakening the U.S.’s strategic competitiveness.
Moolenaar and Krishnamoorthi are seeking detailed revenue data from these companies, particularly regarding transactions with Chinese entities from fiscal years 2022 to 2024. The inquiry includes information on sales subject to U.S. export licenses and those involving entities on U.S. sanctions lists.
The committee’s investigation is part of a broader effort to assess the role of U.S. companies in China’s expanding semiconductor industry, which is now purchasing more semiconductor equipment than the U.S., South Korea, and Taiwan combined.
The lawmakers reiterated that stricter export controls are necessary to safeguard U.S. national security, even as some industry leaders express concerns over the impact of these restrictions on global competitiveness.