Hynix Warns US Chip Curbs Could Shut Giant China Plant
- CMO says looking into ‘extreme situations’ as a contingency
- Hynix remains hopeful it can get waivers to keep plant running
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SK Hynix Inc. warned that the Biden administration’s escalating restrictions could force the closure or sale of a major plant in China, an “extreme situation” or worst-case scenario it hopes to avert.
Hynix told analysts the memory chip giant was preparing for various contingencies, including the possibility that Washington’s curbs could prevent it from getting the gear it needs to sustain its DRAM factory in Wuxi. Hynix would then be forced to sell or move the production equipment to South Korea, Chief Marketing Officer Kevin Noh said.