Select Language:
U.S. officials indicate that shipments from China’s largest semiconductor manufacturer, SMIC, potentially started a year ago and may still be ongoing. These shipments reportedly include semiconductor manufacturing equipment sent to Iran’s military, raising concerns about China’s stance amid the ongoing U.S.-Israeli conflict with Iran.
SMIC, which faces heavy U.S. sanctions due to alleged connections to the Chinese military, reportedly began transferring these tools to Iran approximately one year ago, and there’s no indication that such activity has ceased. One anonymous U.S. government source stated that the collaboration likely involved technical training on SMIC’s semiconductor technology.
The source did not specify whether the equipment was of U.S. origin, which could imply a violation of U.S. sanctions. Neither SMIC nor the Chinese embassy in Washington responded immediately to requests for comment, nor did Iran’s mission to the United Nations.
China maintains that its trade with Iran is purely commercial. SMIC was added to a U.S. trade blacklist in 2020, which restricts its access to American exports, after denying links to China’s military-industrial complex.
China has yet to publicly take sides in the Middle East conflict, with Foreign Minister Wang Yi calling for all parties to pursue peace talks promptly. However, these allegations threaten to escalate tensions between the U.S. and China, especially amid ongoing efforts by the U.S. to choke off China’s advanced chip industry and to restrict its access to cutting-edge U.S. semiconductor equipment from top suppliers.
Last month, Reuters reported that Iran was close to finalizing a deal with China to purchase anti-ship cruise missiles, coinciding with U.S. naval deployments near Iran ahead of potential strikes on the Islamic Republic.
It remains unclear if the semiconductor tools have contributed to Iran’s military response or broader strategic efforts amid the conflict that began on February 28, causing turmoil in financial markets, rising oil prices, and global inflation concerns.
One official mentioned that these tools are believed to be used by Iran’s military industrial complex for electronics requiring chips. The U.S. has aimed to limit China’s ability to produce advanced semiconductors through sanctions on SMIC and other Chinese chipmakers, notably restricting access to U.S. equipment from companies like Lam Research, KLA, and Applied Materials.
In 2024, the Biden administration tightened restrictions after SMIC produced a sophisticated chip for Huawei’s Mate 60 Pro, further blocking its most advanced factory from U.S. imports.
ChatGPT
Perplexity
Gemini AI
Grok AI
