China's Largest Memory Chipmaker CXMT Sues Pentagon Over 'Military-Linked' Designation

ChangXin Memory Technologies (CXMT), China's largest manufacturer of dynamic random-access memory (DRAM) chips, formally filed a lawsuit against the U.S. Department of Defense (Pentagon) on August 28, demanding the removal of its designation as a 'Chinese military company'. This list, designated by the U.S. Department of Defense, includes companies believed to support the development of the Chinese military.

In its legal filing, CXMT emphasized that it has no affiliation with the Chinese military. The company stated that its designed, manufactured, and sold DRAM chips are exclusively intended for civilian and commercial applications, including short-term memory needs for smartphones, personal computers, servers, artificial intelligence systems, and other electronic products, and are not used for military purposes.

The Pentagon designated CXMT as a Chinese military company during the Biden administration, and the designation was maintained during the Trump administration when the list was updated in June. Companies listed under this category may face restrictions on U.S. government contracts and suffer reputational damage. As a result, CXMT has filed this lawsuit seeking to overturn the designation and have its name removed from the list.

As of now, the Pentagon has not immediately responded to Reuters' request for comment.

CXMT is currently the largest DRAM chip manufacturer within China, with its products widely used in consumer electronics, data centers, and artificial intelligence computing fields, making it one of the key players in the global memory supply chain.