U.S. semiconductor industry move to cut China from supply chains, WSJ says

The U.S. semiconductor industry is uprooting Chinese companies from supply chains due to directive from Washington seeking to suppress China’s involvement in the technology, Liza Lin and Asa Fitch of The Wall Street Journal reports. Chip toolmakers are telling suppliers they need to find alternatives to certain components obtains from China or risk losing their vendor status. Applied Materials (AMAT) and Lam Research (LRCX) are some of the companies relaying this message, people familiar with the matter told the Journal. Additionally, Veeco (VECO) has issued a directive to vendors telling them to immediately halt the use of any new Chinese suppliers and wean themselves off existing ones by the end of 2025, according to a copy of the directive viewed by the Journal.