China News Service, Beijing, September 5 (Reporter Liu Yuying) Mainland China chip manufacturer SMIC (SMIC) issued a statement on the 5th stating that any reports on “SMIC’s involvement in the military” are false news. Shocked and puzzled.

  According to Reuters and other media reports, the relevant US government departments are considering including China's largest chip manufacturer SMIC on the trade blacklist.

  SMIC issued a solemn statement on the 5th stating that SMIC has established good cooperative relations with many well-known American and international semiconductor equipment suppliers for many years. The U.S. Department of Commerce over the years has also purchased equipment imported by SMIC. Several important export licenses were issued.

  SMIC stated that since its establishment, the company has been an important member of the global semiconductor supply chain, with customers all over the world including the United States, Europe and Mainland China. Its products and services are used for civilian and commercial purposes, and it has never engaged in any operations involving military applications. The behavior has nothing to do with the Chinese military; in 2016 and before, SMIC was officially recognized by the U.S. Department of Commerce as a "Validated End-User" (Validated End-User), and many U.S. Department of Commerce officials visited China Core International conducts an investigation.

  SMIC claimed that any reports about "SMIC's military involvement" were false news, and was shocked and puzzled by this.

SMIC is willing to communicate with relevant government departments in the United States in a sincere, open, and transparent manner to resolve possible differences and misunderstandings.

  In the second quarter of 2020, SMIC’s sales were US$938.5 million, an increase of 18.7% compared to the same period last year; net profit was US$138 million, a year-on-year increase of 644.2%.

In the second quarter, SMIC's 14nm and 28nm processes accounted for 9.1%, compared with only 3.8% in the same period in 2019.