Cotton Urges U.S. to Entity-List CXMT as Chinese DRAM Maker Reaches 10% Share
Updated
Updated · CNBC · Nov 12
Cotton Urges U.S. to Entity-List CXMT as Chinese DRAM Maker Reaches 10% Share
2 articles · Updated · CNBC · Nov 12
Summary
Tom Cotton asked Commerce Secretary Howard Lutnick to add ChangXin Memory Technologies to the Entity List, a move that would sharply restrict U.S. companies from selling technology to or doing business with the Chinese chipmaker.
The push comes as CXMT has expanded quickly in memory chips: Counterpoint said its DRAM revenue share rose to 10% in Q2 2026 from 4% a year earlier, making it the world's fourth-largest DRAM producer.
Cotton and outside analysts argue the bigger risk is CXMT's path into high-bandwidth memory, a key AI component now dominated by Samsung, SK Hynix and Micron; Reuters said CXMT is starting HBM production despite low 20% to 30% yields.
CXMT is already on the Pentagon's 1260H list of firms tied to China's military, but analysts say that designation carries limited commercial restrictions, while an Entity List move could also complicate reported interest from Apple in using its memory chips.
Will adding CXMT to the Entity List permanently stall its HBM production, or accelerate China's push for entirely independent semiconductor supply chains?
Could blocking China's rising memory-chip star inadvertently worsen global shortages and drive up prices for advanced AI hardware?