In a recent conversation with US senators, Intel and Micron Technology executives said both companies have facilities in China that allow them to fund development in their historic homelands. South Korean memory makers are also heavily dependent on China, and this could be a problem if they try to forge an alliance with the US and Taiwan.
According to information Business KoreaUS officials have recently proposed a semiconductor alliance that could include the United States, Taiwan and South Korea, and the goal of such an alliance could be a technological confrontation with China. South Korean authorities continue to find implementation difficult as the country’s largest companies are largely dependent on China-based companies. For example, Samsung Electronics manufactures semiconductor memories in Xi’an, China, and its share of the entire production program reaches 42%.
SK hynix’s degree of dependence on China is even greater – the company produces up to 47% of RAM chips at one company in China. The contract division of SK hynix, which manufactures chips for third-party customers, will also be based here. Both Korean giants are concerned that forming all sorts of alliances with the United States and Taiwan could jeopardize the continued functioning of their companies in China.