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BIS Adds CSMC as Authorized China VEU, Updates AMD Listing

The Bureau of Industry and Security has issued a final rule, effective January 18, 2011, which adds CSMC Technologies Corporation and its facilities to its list of validated end-users in China, and revises the VEU authorization for Advanced Micro Devices China, Inc. (AMD) by amending the list of buildings and updating the description of items eligible for export, reexport, or transfer (in-country) to its approved facilities.

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(Authorization VEU is a mechanism to facilitate increased high-technology exports to companies in eligible destinations that have a verifiable record of civilian uses for such items. VEUs may obtain certain eligible commodities, software and technology on the Commerce Control List (except those controlled for missile technology or crime control reasons) without having to wait for their suppliers to obtain export licenses from BIS.

In addition to U.S. exporters, Authorization VEU may be used by foreign reexporters as well as by persons transferring in-country, and does not have an expiration date. Currently, VEUs are located in China and India.)

CSMC and 3 Eligible Destinations/Facilities Added to VEU List

BIS’ final rule amends Supplement No. 7 to 15 CFR Part 748 to designate CSMC Technologies Corporation as a VEU, to identify the eligible destinations of CSMC (also referred to as facilities), and to identify the items that may be exported, reexported, or transferred (in-country) to CSMC’s specified eligible facilities under Authorization VEU.

The names and addresses of CSMC's eligible facilities are as follows:

CSMC Technologies Fab 1 Co., Ltd.

14 Liangxi Road

Wuxi, Jiangsu 214061, China

CSMC Technologies Fab 2 Co., Ltd.

Block 86, 87

Wuxi National Hi-New Tech Industrial Development Zone

Wuxi, Jiangsu 214061, China

Wuxi CR Semiconductor Wafers and Chips Co., Ltd.

14 Liangxi Road

Wuxi, Jiangsu 214061, China

ECCNs Eligible for Export, Reexport, or Transfer to CSMC

BIS' final rule also amends Supplement No. 7 to 15 CFR Part 748 to include certain Export Control Classification Numbers (ECCNs) under which items may be exported, reexported or transferred (in-country) to CSMC under Authorization VEU, as follows.

1C350.c.31C350.c.112B230.a2B230.b
2B350.f2B350.g2B350.h3B001.c.1.a
3B001.c.2.a3B001.e3C002.a3C004

Addition of Buildings to One AMD Facility Address

This final rule also amends Supplement No. 7 to 15 CFR Part 748 by revising the list of Advanced Micro Devices China, Inc.’s (AMD) eligible facilities. Specifically, this rule adds three new buildings to the facility authorization for Advanced Micro Devices (Shanghai) Co., Ltd. (AMD Shanghai), as follows:

Advanced Micro Devices (Shanghai) Co., Ltd.

Buildings 46, 47, 48 & 49, River Front Harbor1

Zhangjiang Hi-Tech Park

1387 Zhangdong Rd.,

Pudong, Shanghai, 201203

Clarified Descriptions of Eligible ECCNs for AMD

In addition, BIS 's final rule updates the description of the ECCNs2 eligible for export, reexport, or transfer (in-country) to AMD’s approved facilities in order to provide further clarification as follows:

"ECCNs 3D002, 3D003, 3E001 (limited to 'technology' for items classified under 3C002 and 3C004 and 'technology' for use during the International Technology Roadmap for Semiconductors (ITRS) process for items classified under ECCNs 3B001 and 3B002), 3E002 (limited to 'technology' for use during the ITRS process for items classified under ECCNs 3B001 and 3B002), 3E003.e (limited to the 'development' and 'production' of integrated circuits for commercial applications), 4D001, 4D002, 4D003 and 4E001 (limited to the 'development' of products under ECCN 4A003)"

1Previously, this address contained only Building 48.

2Previously, these eligible ECCNs for AMD were described as "3D002, 3D003, 3E001 (as it applies to 'technology' for items classified under 3B001, 3B002, 3C002 and 3C004), 3E002, 3E003.e (limited to the 'development' and 'production' of integrated circuits for commercial applications), 4D001, 4D002, 4D003 and 4E001 (applicable to the 'development' of products under ECCN 4A003)."

(See ITT's Online Archives or 05/10/10 news, 10051036, for BP summary of BIS' addition of AMD as a VEU.

See ITT’s Online Archives or 10/12/10 and 11/10 news, 10101213 and 10110109, for BP summaries of BIS’ recent addition of three entities in China to the Authorization VEU list, and removal of one facility from the list of SMIC facilities.)

BIS contact - Karen Nies-Vogel (202) 482-5991

(D/N 101129595-0635-01, FR Pub 01/18/11)