SK Hynix is seeking US approval to send more chipmaking equipment to its factory in Dalian, China, as a condition of building a new factory in the United States, Reuters reported on 14 October 2026, citing people familiar with the matter. No licence decision has been made, and SK Hynix has not confirmed the condition.
What Reuters reported
According to Reuters’ report, as carried by South Korea’s Yonhap news agency and by Stocktwits, Solidigm, SK Hynix’s US-based NAND flash memory business, wants to install equipment to make NAND chips in unused space at the Dalian site known as “Mode B”. Yonhap says Mode B was built in 2023 but never fully equipped because of a downturn in the memory market.
Solidigm is seeking a US export licence for additional equipment from Lam Research, Applied Materials and KLA, and is making its plan for a new US NAND factory depend on that licence, Reuters reported. One source said more output from China would help Solidigm pay for the US plant. Another said Solidigm is considering a stock-market listing as early as next year. Reuters reported last month that upstate New York is a leading candidate for the US site.
SK Hynix’s response
In a statement to Reuters reported by Yonhap, SK Hynix said the installation of equipment in Mode B is going ahead in close consultation with the US government and with its approval. It said it is not pursuing an expansion of production capacity.
US export rules
Last year the US Commerce Department revoked exemptions that let SK Hynix and Samsung ship US equipment to their Chinese factories without individual licences, according to Reuters’ reporting. The department later allowed shipments to keep existing operations running but said it did not expect to approve licences for capacity expansions or technology upgrades. SK Hynix has a licence for Dalian for 2026 that limits equipment quantities, and approval for 2027 is pending, Reuters reported.
What this means
- A trade-off for Washington. The US wants more chip factories at home but has limited what can be shipped to China.
- Two accounts differ. Reuters’ sources describe a push for more production; SK Hynix says it is not expanding capacity.
- Nothing is decided. No licence has been granted, and the US plant plan remains uncertain.
Sources
- Reuters, “Exclusive: SK Hynix conditions new US factory on more US chip equipment exports to China, sources say”, Karen Freifeld and Hyunjoo Jin, 14 October 2026. https://www.investing.com/news/stock-market-news/exclusivesk-hynix-conditions-new-us-factory-on-more-us-chip-equipment-exports-to-china-sources-say-4950396
- Yonhap, “로이터 ‘SK하이닉스, 美공장 조건으로 中다롄 장비 반입 요청'” (Reuters: SK Hynix requests equipment for China’s Dalian as condition of US plant), 15 October 2026 (in Korean; TSN’s translation). https://www.yna.co.kr/view/AKR20261015103600009
- Stocktwits (via Yahoo Finance), “SKHY Tracks Worst Month Since Nasdaq Debut: SK Hynix Reportedly Wants To Ship More Chip Tools To China Before Building In US”, Yuvraj Malik, 14 October 2026. https://finance.yahoo.com/markets/stocks/articles/skhy-tracks-worst-month-since-034114532.html
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