Overview

• The Commerce Department’s Bureau of Industry and Security said it will remove Samsung Electronics, SK hynix and Intel Semiconductor Ltd. from China’s validated end‑user list in a Federal Register notice.
• The change takes effect 120 days after the Sept. 2 publication date, after which the companies must obtain individual U.S. export licenses for certain chipmaking tools bound for their China sites.
• VEU status had allowed pre‑approved shipments under a general authorization, reducing licensing paperwork compared with case‑by‑case approvals.
• South Korea’s industry ministry said it was notified ahead of the decision and will work with Washington to minimize effects on Korean chipmakers and global supply chains.
• The decision is expected to affect production at China facilities, including Samsung’s Xi’an NAND complex and SK hynix’s Wuxi DRAM plant, which account for about 35% of Samsung’s NAND and around 40% of SK hynix’s DRAM output.