SEOUL– SK hynix Inc. said Tuesday it will continue efforts to ensure smooth business operations in China, following a media report that a U.S. chip equipment maker will halt offering some supplies and services to the South Korean memory chip giant’s operations in the country.

Earlier in the day, Reuters reported KLA Corp. will stop providing some services to China-based companies, including SK hynix, from Wednesday to comply with new U.S. regulations, citing an anonymous source.

Last week, the Joe Biden administration announced a set of measures that restrict some exports of advanced semiconductor manufacturing equipment to companies in China.

An official at SK hynix said KLA appears to have made a notice to halt their services to companies in China to follow the restrictions.

“We will make all-out efforts on the required process to obtain a license from the U.S. by closely working with the government,” the official said.

SK hynix currently operates multiple plants in China, including one in the eastern city of Wuxi.

Source: Yonhap News Agency