In a recent decision, China has imposed restrictions on Micron, a prominent U.S. chip manufacturer, prohibiting the company from selling its products to Chinese firms engaged in critical infrastructure projects. The move comes in light of national security risks identified by China's cybersecurity authority, which initiated an investigation in late March 2023 to assess potential network security vulnerabilities.
The Cyberspace Administration of China (CAC) stated that the purpose of this comprehensive network security review of Micron's products is to safeguard the national critical information infrastructure from potential product-related network security issues. This measure is deemed necessary to ensure the country's overall security. During the investigation, the CAC discovered "serious cybersecurity problems" within Micron's products, which posed a risk to China's critical information infrastructure supply chain.
Consequently, entities involved in critical information infrastructure projects are advised to refrain from purchasing products from Micron. While specific details regarding the cybersecurity concerns have not been disclosed by the authority, the CAC cited violations of local laws and regulations as contributing factors.
Micron, in response, released a statement to the Wall Street Journal expressing its evaluation of the conclusion and ongoing assessment of the subsequent steps to be taken. The U.S. Commerce Department, responding to the situation, countered the restrictions by stating that they lack factual basis, according to a statement reported by the BBC.
This development reflects the escalating geopolitical tensions between China and the U.S. and draws parallels with similar actions undertaken by the U.S. government in relation to security concerns surrounding Chinese equipment manufacturers.