Trump-Xi Summit Puts Korean Chip Makers in Difficult Position

The Trump and Xi Jinping talks create a critical balance between business opportunities with China and technological competition in the Korean semiconductor industry. The U.S...

Scraper SystemJune 10, 2026, 05:26 PMUpdated: August 23, 2026, 11:59 PM

The summit between U.S. President Donald Trump and Chinese President Xi Jinping in Beijing has created a significant dilemma in the Korean semiconductor sector. While the summit opens new business opportunities for equipment suppliers in China, it also raises concerns about Chinese chip manufacturers closing the technology gap with Samsung Electronics and SK hynix. The U.S. has tightened semiconductor equipment exports to China to slow advances in artificial intelligence and high-performance computing. Meanwhile, China is leveraging its dominance in rare earth supplies as a bargaining chip in negotiations to extend the trade truce reached last October. There is talk that the U.S. might ease some export restrictions in exchange for China purchasing more American agricultural products, energy, and Boeing aircraft. Nvidia CEO Jensen Huang’s last-minute participation in the Trump delegation has fueled speculation about the company’s business in China. According to Reuters, the U.S. Department of Commerce has authorized about 10 Chinese companies, including Alibaba, Tencent, ByteDance, and JD.com, to purchase H200 chips, though shipments have not yet occurred. Intermediaries like Lenovo and Foxconn have also received approval to sell these chips. For Korean chip makers, the situation is more complex. Although H200 chips do not directly compete with Korean memory products, these approvals may signal a possible shift in Washington’s approach to technology exports to China. Experts emphasize the need to closely monitor restrictions on more advanced manufacturing processes, especially for 14 and 7 nanometer semiconductor production equipment, as Chinese firms move toward these technologies. However, if the U.S. grants China access to extreme ultraviolet lithography equipment, the pace of China’s technological catch-up could accelerate. Current restrictions are close to the levels Chinese manufacturers have reached in some areas, and a slight easing may not pose a direct threat to Samsung and SK hynix. On the other hand, if Chinese chip makers accelerate capacity expansion, new opportunities could arise for Korean equipment suppliers. This development is viewed positively for Korea’s semiconductor equipment companies.

Trump-Xi Summit Puts Korean Chip Makers in Difficult Position

The Trump and Xi Jinping talks create a critical balance between business opportunities with China and technological competition in the Korean semiconductor industry. The U.S...