Apple seeks permission to buy memory from blacklisted Chinese supplier
Apple is asking the Trump administration for an exception to purchase RAM chips from CXMT, a company blacklisted by the Pentagon due to ties with the People's Liberation Army.
Apple has approached the U.S. administration requesting permission to buy RAM chips from CXMT, a Chinese company that the Pentagon has blacklisted for its close ties to the People's Liberation Army. According to sources cited by the Financial Times, the tech giant is trying to relieve pressure on its supply chain as RAM and storage prices have surged, prompting Apple to raise prices on nearly all its products.
While Apple is not legally barred from buying from CXMT, doing so carries serious reputational risks. CXMT was previously proposed for inclusion on the Commerce Department's "Entity List" but was deferred while the White House was engaged in trade negotiations with China. The company could still face export controls if it is deemed to undermine U.S. security.
It remains unclear whether the administration will grant Apple's request. CEO Tim Cook has spent considerable time building ties with the Trump administration, including presenting the president with lavish statues and attending a screening of the Melania movie, directed by Brett Ratner, who has been accused of rape. However, any approval from the White House would likely face significant backlash.
John Moolenaar, Republican chair of the House China committee, told the Financial Times: "Apple choosing to partner with a Chinese military company would be a grave mistake... Helping the [Chinese Communist Party] succeed in its plans to dominate critical supply chains will make our country’s tech industry and economy more dependent on China at a time when we must build secure tech supply chains with our allies."
