The United States government is strongly opposing China’s recent ban on memory chips from Micron Technology, Inc. (NASDAQ: MU), citing vague national security concerns.
Commerce Secretary Gina Raimondo expressed the U.S.’s firm stance against the ban during a news conference held after a multinational trade meeting on the Indo-Pacific Economic Framework.
Raimondo stated that the U.S. government “firmly opposes” China’s ban on Micron and emphasized that they “won’t tolerate” such restrictions. She further criticized China’s import restrictions for targeting a single U.S. company without any factual basis, describing it as economic coercion. Raimondo expressed confidence that the U.S. would not tolerate the ban and believed it would ultimately be unsuccessful.
China has made a strong accusation against Micron Technology, a top semiconductor producer in the United States, stating that it poses a threat to the nation’s security. On May 21, China’s cybersecurity agency declared that operators of crucial infrastructure in the country should refrain from purchasing Micron’s products due to network security risks that could harm China’s national security.
This announcement comes after the United States and G-7 member nations imposed new limitations on China’s access to technology used in chip manufacturing. The move signifies a growing concern among nations regarding China’s role in the global technology landscape.
Raimondo disclosed that she raised the Micron issue during a meeting with China’s commerce minister, Wang Wentao, on Thursday.
On Friday, MU stock witnessed a significant increase of 6.21%, reaching $73.93 per share, with a high trading volume of 33,387,364 (33.38M) shares. The current market capitalization of MU stands at $76.18 billion.
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