Shares of Applied Materials tumbled in early trading in New York following a Reuters report that disclosed the largest US maker of chipmaking machinery faces a US criminal investigation for allegedly violating export restrictions to China.
Shares of Applied Materials tumbled in early trading in New York following a Reuters report that disclosed the largest US maker of chipmaking machinery faces a US criminal investigation for allegedly violating export restrictions to China . The Justice Department is investigating Applied Materials ' dealings with China 's biggest chipmaker, Semiconductor Manufacturing International Corp .
One source said Applied Materials sent hundreds of millions of dollars in semiconductor equipment to SMIC without export licenses. 'Applied Materials first disclosed in October 2022 that it received a subpoena from the US Attorney's Office for the District of Massachusetts requesting information relating to certain China customer shipments,' the company told Bloomberg in an emailed statement. It added 'The company is cooperating with the government and remains committed to compliance with global laws, including export controls and trade regulations.' This comes as the Biden administration has expanded US restrictions on advanced chips and chipmaking equipment to China for national security purpose
Applied Materials US Criminal Investigation Export Restrictions China Chipmaking Machinery Semiconductor Manufacturing International Corp Subpoena Compliance Global Laws Export Controls Trade Regulations Biden Administration National Security
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