Apple seeks approval for chips from US blacklisted Chinese firm CXMT

Apple is requesting permission to purchase memory chips from ChangXin Memory Technologies (CXMT), a company on the US blacklist, amid concerns that the Trump administration's policies may exacerbate memory shortages for electronics. Congressman Ro Khanna accused the Trump administration of undermining US efforts to boost domestic memory production, linking it to rising consumer electronics prices. Khanna's letter to Commerce Secretary Howard Lutnick questioned whether American companies would be allowed to source chips from Chinese manufacturers like CXMT and how risks would be mitigated. Apple is lobbying for the purchase due to a surge in global demand driven by AI infrastructure investments, which has led to a 20% price increase for MacBooks and iPads. Khanna warned that reliance on Chinese suppliers could pose new risks for the US, especially if domestic producers cannot meet demand. CXMT is on the Pentagon's blacklist due to alleged ties to the Chinese military, although this does not formally prohibit US companies from buying its products. The discussion comes as Chinese companies gain ground in the AI market, with the launch of Moonshot AI's Kimi K3 model causing stock sell-offs among US chip manufacturers. The Trump administration plans to scrutinize Chinese AI models for potential sanctions while reviewing its semiconductor support policies, which include $49 billion in grants from the Chips and Science Act.