Yesterday, SEMI issued a statement stating that the new export control regulations issued by the US Department of Commerce will harm the US semiconductor industry, cause huge uncertainty and interference to the semiconductor supply chain, and ultimately harm US national security interests.

In addition, SEMI requested the U.S. Department of Commerce to immediately extend the storage clause for products in production to 120 days before August 17, to ensure that all product licensing decisions are predictable and timely.

SEMI mentioned in the statement that as early as July 14, SEMI had already warned in its public comments on the May 15 regulations that those relatively narrow measures have created obstacles to the purchase of US-made semiconductor equipment and design software, and have led to a relationship with Huawei. Unrelated companies lost $17 million in sales of American products.

SEMI pointed out that the U.S. Department of Commerce's decision to significantly expand these unilateral restrictions will likely lead to more lost sales, eroding the customer base for U.S-origin items. The new restrictions will also fuel a perception that the supply of U.S. technology is unreliable and lead non-U.S. customers to call for the design-out of U.S. technology. Meanwhile, these actions further incentivize efforts to supplant these U.S. technologies.

About SEMI

SEMI® connects more than 2,400 member companies and 1.3 million professionals worldwide to advance the technology and business of electronics design and manufacturing. SEMI members are responsible for the innovations in materials, design, equipment, software, devices, and services that enable smarter, faster, more powerful, and more affordable electronic products. Electronic System Design Alliance (ESD Alliance), FlexTech, the Fab Owners Alliance (FOA) and the MEMS & Sensors Industry Group (MSIG) are SEMI Strategic Technology Communities, defined communities within SEMI focused on specific technologies. Visit www.semi.org to learn more.