- AMEC has been removed from the Department of Defense’s list of companies of concern
- However, the Chinese firm remains on the list of US entities.
- Other companies have also revised their restrictions.
US sanctions on shipments of chips and advanced technology to China have intensified in recent years, largely pushed in the post-pandemic era and aimed at addressing the country’s technological advancement, which the US fears could boost its military. .
A report of the South China Morning Post revealed that Advanced Micro-Fabrication Equipment (AMEC), a Chinese tool manufacturer, has been removed from the US list of companies of concern, called “Chinese military companies operating in the US.”
Despite this, the company still remains on the Department of Commerce Entity List, continuing with certain restrictions and sanctions imposed by the country.
AMEC is no longer under Department of Defense restrictions
The downgrade was confirmed through a filing in the US Federal Register on December 13, approximately 12 months after it first appeared on the list. The company’s inclusion on the list throughout 2024 meant that the Department of Defense was prohibited from purchasing anything from AMEC and other companies on the list, among other restrictions, depending on the company.
In the case of AMEC, it was also unable to purchase technologies developed in the US, and since it is still included on the Entity List, AMEC’s suppliers still need to acquire an export license to sell tools and materials to the company: those licenses It can be tricky to get, by all accounts.
Chinese investment firm IDG Capital was also delisted, although the Defense Department did not give a specific reason for the downgrade.
In early 2024, AMEC filed a lawsuit in the US against the Department of Defense over its inclusion on the list.
This news comes just weeks after the US added even more companies to its list. Chinese Foreign Ministry spokesman Lin Jian previously criticized the US measures as being detrimental to global trade, adding that the country had been considering its own countermeasures.
Added complexity comes with the arrival of President-elect Trump: It is unclear whether many of the restrictions that have previously been imposed will remain in place.
