"We are not connected to the military": Chinese chip manufacturer sues the Pentagon
China's CXMT is suing the US Department of Defense, demanding to be removed from the list of companies that the US believes are assisting the Chinese military. The company claims it produces chips for civilian and commercial use only. The significance of the US list: it could lead to restrictions and damage the company's reputation.
The largest memory chip manufacturer in China, ChangXin Memory Technologies (CXMT), filed a lawsuit against the US Department of Defense following its inclusion in the list of companies that the US claims are assisting the Chinese military. The company was designated by the US Department of Defense as a "Chinese military company" during the Joe Biden administration and remained on the list even after an update conducted by the Donald Trump administration last June.
"CXMT is not connected to the Chinese military," the company claimed in the lawsuit. "CXMT designs, manufactures, and sells DRAM chips for civilian and commercial use, and not for military use," it stated. According to the document filed with the court, the company is seeking to overturn the decision that defined it as a Chinese military company and to remove its name from the Pentagon's list. Inclusion in the list could lead to restrictions on dealings with the US government and damage the company's reputation.
CXMT is the largest manufacturer in China of DRAM memory chips, which are used as short-term memory in smartphones, personal computers, servers, artificial intelligence systems, and other electronic products. The Reuters news agency reported that the Pentagon has not yet responded to the lawsuit.
