Senator Tom Cotton Urges Ban on Chinese Chipmaker CXMT
Senator Tom Cotton requested that the U.S. Commerce Department add Chinese memory chip producer CXMT to the Entity List to protect national security.
U.S. Senator Tom Cotton urged Commerce Secretary Howard Lutnick on Thursday to add ChangXin Memory Technologies (CXMT) to the Bureau of Industry and Security Entity List. Cotton argued that the Chinese DRAM producer poses a risk to U.S. economic prosperity and military superiority, stating that the company must be cut off from resources that aid its supply chain to prevent China from undercutting American growth.
CXMT is currently the world's fourth-largest producer of dynamic random access memory and has grown its market share by revenue from 4% to 10%. While the company's high-bandwidth memory capabilities currently suffer from low yields, Cotton contends that the U.S. must act to prevent the firm from gaining a stronger global foothold.
Placement on the Entity List would significantly restrict U.S. firms from conducting business with CXMT and block the company's access to critical U.S. technology.
