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Trump Orders Chinese-Linked Firm to Divest US Semiconductor Asset

US President Donald Trump has ordered a Chinese-linked firm to divest its ownership of US semiconductor assets, following a national security review of the transaction. The decision affects assets tied to advanced navigation and chip-related technology.

The order requires the company to unwind its acquisition of a US-based semiconductor business, with authorities citing concerns over potential risks to sensitive technology and supply chains. The move follows an assessment by US national security agencies overseeing foreign investments.

The affected assets are connected to specialised semiconductor and navigation systems used in defence, aerospace, and commercial applications. Officials said the divestment is intended to prevent strategic technologies from falling under foreign control.

The decision underscores continued scrutiny of Chinese involvement in critical US technology sectors. Analysts say it reflects Washington’s broader approach to safeguarding semiconductor supply chains and limiting foreign access to advanced manufacturing and defence-related technologies.