US government removes Chinese chip giant AMEC from major blacklist

AMEC has been dropped from the DoD’s concerning companies list
However the Chinese firm remains on the US Entities List
Other companies have also have restrictions revised

US sanctions on chip and advanced technology shipments to China have ramped up in recent years, largely spurred on in the post-pandemic era and aimed at tackling the country’s technological advancement, which the US fears could fuel its military.

A report by the South China Morning Post revealed Advanced Micro-Fabrication Equipment (AMEC), a Chinese toolmaker, has now been removed from America’s list of concerning companies – dubbed ‘Chinese Military Companies operating in the US’.

Despite this, the company still remains on the Department of Commerce’s Entity List, continuing certain restrictions and sanctions imposed by the country.

AMEC no longer under DoD restrictions

The downgrade was confirmed via a US Federal Register filing on December 13, around 12 months after it was first listed. The company’s inclusion on the list throughout 2024 meant the Department of Defense was banned 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 buy technologies developed in the US, and as it is still included on the Entities List, suppliers from AMEC still need to acquire an export license to sell tools and materials to the firm – those licenses can be tricky to get, by all accounts.

Chinese investment firm IDG Capital was also removed from the list, though the Department of Defense did not give a specific reason to the downgrade.

Earlier in 2024, AMEC filed a lawsuit in the US against the DoD for its inclusion on the list in the first place.

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 harmful to global trade, adding that the country had been considering its own countermeasures.

The added complexity comes in the form of President-elect Trump – it’s unclear whether many of the restrictions that have previously been put in place will remain.

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