US Grants Samsung, SK Hynix One-Year License To Ship Chip Tools To China

U.S. policy changes and a tightening global memory chip market are putting South Korea's largest semiconductor makers under renewed scrutiny.

The U.S. government has issued annual licenses allowing Samsung Electronics Co. Ltd. (OTC:SSNLF) and SK Hynix to import chipmaking equipment into their China-based facilities through 2026.

The move follows a broader policy shift that now requires companies to secure yearly approvals to ship semiconductor manufacturing tools into China, Reuters reported Tuesday.

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The change follows Washington's earlier decision to revoke long-standing license exemptions and move to a year-by-year approval process for sensitive chipmaking equipment.

Under the new framework, shipments of U.S. semiconductor manufacturing tools to China will require explicit annual authorization from American regulators.

Samsung Electronics, SK Hynix, and Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) had previously operated under validated end-user status, which allowed limited equipment shipments without applying for individual licenses.

That status is set to expire on December 31. Beginning in 2026, approvals will be reassessed annually, adding a fresh layer of regulatory uncertainty for foreign chipmakers running advanced manufacturing operations in China.

Samsung, the world's largest memory chipmaker, and SK Hynix, the second-largest, rely heavily on China as a manufacturing base, especially for legacy memory chips. The policy shift raises fresh questions about supply stability at a time when the global memory market remains tight.

Earlier in 2025, the U.S. Commerce Department's Bureau of Industry and Security revoked the companies' Validated End User status, which had allowed them to import U.S. equipment without individual licenses.

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