China welcomes Micron, other foreign investors compliant with laws and regulations: MOFCOM
Published: Nov 16, 2023 06:57 PM
The Ministry of Commerce Photo: VCG

The Ministry of Commerce Photo: VCG

China welcomes US memory chip giant Micron Technology and other foreign enterprises to continue deepening their presence in the Chinese market and achieving better development while complying with Chinese laws and regulations, said a spokesperson of the Ministry of Commerce (MOFCOM) on Thursday. 

MOFCOM said that the measures taken against Micron are lawful and limited to areas related to domestic critical information infrastructure, after Micron products were found to have significant security risks.

Chinese cyber regulators in May demanded that China's domestic critical information infrastructure operators stop purchasing Micron products in accordance with the country's Cybersecurity Law and other regulations, according to a statement published on the website of the Cyberspace Administration of China.

The targeted measures came after a review, conducted by China's Cybersecurity Review Office, of Micron's products sold in China. The review found that Micron's products have severe cybersecurity problems that could pose significant security risks to China's critical information infrastructure supply chain.

The statement said that action was deemed necessary to ensure national security. It also reiterated China's commitment to actively promoting a high level of openness and welcoming global companies as long as they conform to the requirements of Chinese laws and regulations.

On November 1, China's Minister of Commerce Wang Wentao met with Sanjay Mehrotra, president and CEO of US chip giant Micron Technology. Wang welcomed Micron to continue to take root and deeply cultivate the Chinese market and realize better development, on the condition of complying with Chinese laws and regulations. Mehrotra expressed his willingness 

The meeting came after the company said that it would attend the 6th China International Import Expo, which was held from November 5 to 10 in Shanghai, participating in the event for the first time.

Micron said in June that it will invest more than 4.3 billion yuan ($593 million) in its packaging and testing plant in Xi'an, capital of Northwest China's Shaanxi Province, in the next few years, a move that the company said "showcased its unswerving commitment" to its Chinese business and team members.

Overseas-funded enterprises continue to gain momentum in China, thanks to the improving investment environment.

From January to September, 37,814 new foreign-invested enterprises were established nationwide, up 32.4 percent year-on-year, data from the MOFCOM showed.

In the first three quarters of this year, the actual use of foreign capital in the manufacturing industry in China increased by 2.4 percent year-on-year, with the actual use of foreign capital in high-tech manufacturing increasing by 12.8 percent year-on-year, indicating the high 

In August, China's State Council issued a statement outlining its guidelines regarding further optimizing the foreign investment environment and intensifying efforts to attract foreign investment.

Under the guidelines, measures will be taken to improve the quality of foreign capital utilization, guarantee the national treatment of foreign-invested enterprises, strengthen the protection of foreign investment, improve the facilitation of investment and operation, increase fiscal and tax support, and improve methods of promoting foreign investment.

China remains committed to high-level opening-up and will continuously improve the investment environment for foreign businesses, the spokesperson from the MOFCOM said.

Global Times