China's SMIC facing delays on some U.S.-made supplies-Global Times

FILE PHOTO: A logo of Semiconductor Manufacturing International Corporation (SMIC) is seen at China International Semiconductor Expo (IC China 2020) following the coronavirus disease (COVID-19) outbreak in Shanghai, China October 14, 2020. REUTERS/Aly Song

(Reuters) - China’s Semiconductor Manufacturing International Corp (SMIC) is facing some delays in getting U.S.-made equipment, parts and materials, the Global Times newspaper reported on Thursday, after Washington imposed export restrictions against the firm.

SMIC, China’s largest contract chipmaker, has been among several Chinese tech firms including Huawei Technologies that have been targeted by the Trump Administration over national security issues.

In September, the U.S. Commerce Department’s Bureau of Industry and Security informed some firms that they need to obtain a license before supplying goods and services to SMIC due to because of “unacceptable risk” that such exports could be diverted to military end use. SMIC has said it has no relationship with the Chinese military.

SMIC said it is operating normally and hopes to be able to resume normal procurement, the Global Times said.

The chipmaker, as with competitors such as global market leader Taiwan Semiconductor Manufacturing Co Ltd, relies heavily on equipment from suppliers based in the United States.

Reporting by Se Young Lee; Editing by Kim Coghill