CFIUS Likely To Investigate, Require Changes If Chinese SOE Vies For Micron

摘要

The Committee on Foreign Investment in the United States (CFIUS) is likely to review, investigate and recommend mitigating measures if the Chinese state-owned enterprise (SOE) Tsinghua Unigroup offers a formal bid to acquire U.S. semiconductor firm Micron, although the bid may fall through for other reasons, according to industry sources and trade lawyers. A bid from Tsinghua to acquire Micron is almost certain to move beyond CFIUS's initial 30-day review to the more-detailed 45-day investigation because that step is required when an SOE is seeking to acquire a U.S. firm, unless the Treasury secretary grants an exception, two lawyers said. But such an exception is unlikely because the potential takeover - which has already prompted opposition from two senior U.S. senators - would pose significant national security risks, they added. Micron produces high-tech memory chips and semiconductor products that have military applications and China may wish to acquire technology and expertise to create indigenous semiconductor and memory chip production plants.