China has banned U.S. chip maker Micron from selling its products to Chinese companies working on key infrastructure projects, citing national security risks.
The development comes nearly two months after the country's cybersecurity authority initiated a probe in late March 2023 to assess potential network security risks.
"The purpose of this network security review of Micron's products is to prevent product network security problems from endangering the security of national critical information infrastructure, which is a necessary measure to maintain national security," the Cyberspace Administration of China (CAC) said.
The CAC further said the investigation found "serious cybersecurity problems" in Micron's products, endangering the country's critical information infrastructure supply chain.
As a result, operators involved in such critical information infrastructure projects should stop purchasing products from Micron, it added.
The authority did not disclose the specific cybersecurity concerns posed by Micron, but cited violations of local laws and regulations.
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In a statement shared with the Wall Street Journal, Micron said it's "evaluating the conclusion and assessing our next steps." The restrictions "have no basis in fact," the U.S. Commerce Department was quoted as saying to BBC.
The tit-for-tat development comes amid escalating geopolitical tensions between China and the U.S., and mirrors similar moves made by the U.S. government against Chinese equipment makers over security concerns.