China welcomes Micron's expansion as ties with the US improve
China's Commerce Minister, Wang Wentao, has indicated that Beijing is open to US semiconductor firm Micron Technology Inc, expanding its presence in the Chinese market. This suggests a potential easing of tensions between the world's two largest economies. Wentao recently met with Sanjay Mehrotra, President and CEO of Micron, assuring him that China will enhance the foreign investment climate and offer service guarantees for international businesses.
Commitment to comply with Chinese laws and regulations
During their discussion, Wang Wentao said, "We welcome Micron Technology to continue to take root in the Chinese market and achieve better development under the premise of complying with Chinese laws and regulations." This statement comes only a few months after China's cyberspace regulator accused Micron of not passing a network security review. This prohibited Chinese operators of critical infrastructure from purchasing from the US memory chip manufacturer.
Improving relations between Washington and Beijing
The recent conversation between Wentao and Mehrotra coincides with a decrease in friction between Washington and Beijing. Representatives from both nations are coordinating a meeting between US President Joe Biden and Chinese President Xi Jinping, later this month at the Asia-Pacific Economic Cooperation summit in San Francisco. This development follows previous attempts by Washington to limit Beijing's access to essential technology and persuade allies to participate in restricting chip equipment exports to China.
