US Expert: "If Han Uses Micron Sanctions... Trust Will Collapse"

"China May Take Over Samsung Memory Shares"

As China restricts imports of products from the U.S. memory semiconductor company 'Micron,' a think tank has warned that if Korean companies try to gain 'reflected benefits,' it could cause a rift in the trust relationship between South Korea and the U.S.

Robert Atkinson, president of the Information Technology and Innovation Foundation (ITIF), stated during a discussion hosted by the Center for Strategic and International Studies (CSIS) on the 1st (local time), "If Korean companies take advantage of the situation where China is trying to punish us, it will destroy the trust we have shared," adding, "It will be a big problem."

Atkinson served as an advisor during the administrations of Bill Clinton, George W. Bush, and Barack Obama, and currently leads ITIF, a leading U.S. science and technology think tank.

He identified the top three players in the memory semiconductor market as Samsung Electronics, SK Hynix, and Micron, stating, "Chinese companies are in pursuit. China's goal is to put one of these three companies out of business."

Robert Atkinson, Chairman of the Information Technology Innovation Foundation [Image source=Center for Strategic and International Studies]

He continued, "That could be Micron or SK Hynix," and added, "China may not put Samsung out of business, but it can take away Samsung's memory market share."

Atkinson also argued that Korean companies should not fill the gap left by Micron in the Chinese market and that an 'alliance agreement' should be made. He said, "This is not about being anti-China," and explained, "Chinese companies cannot exist without relying on illegal means such as massive government subsidies, intellectual property theft, and forced technology transfers."

Earlier in April, the British newspaper Financial Times reported that the U.S. government requested South Korea not to let Korean companies fill the gap if China sanctions Micron. Chinese authorities issued a ban on purchasing Micron products on the 23rd of last month, coinciding with the closing day of the Group of Seven (G7) summit.

Recently, Mike Gallagher, chairman of the U.S. House of Representatives' 'U.S.-China Strategic Competition Special Committee,' publicly urged, "South Korea, as an ally, must act to block Korean companies from filling Micron's gap."