Top Chinese Chip Gear Maker Sues Pentagon to Void Sanctions

  • AMEC says it was unfairly linked to the Chinese military
  • The Shanghai company’s leadership is predominately American
A display of products at the Advanced Micro-Fabrication Equipment Inc. (AMEC) booth at the Semicon China expo in Shanghai in March Photographer: Qilai Shen/Bloomberg
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One of China’s most prominent chip gear makers is suing the Pentagon for linking it to the People’s Liberation Army, seeking to get off a blacklist that bars business with American firms.

Advanced Micro-Fabrication Equipment Inc. alleged that the defense agency harmed the company’s business and reputation by adding the Shanghainese entity to the so-called Section 1260H list of firms linked to China’s military. Pentagon officials took months to respond to a request for additional information, then justified their decision with evidence of an award from China’s Ministry of Industry and Information Technology, AMEC said in its lawsuit.