South Korean chip firms to omit detailed data in response to U.S. request -sources

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The logo of SK Hynix is seen astatine its office successful Seongnam, South Korea, April 25, 2016. REUTERS/Kim Hong-Ji/File Photo

SEOUL, Nov 5 (Reuters) - Samsung Electronics (005930.KS) and SK Hynix (000660.KS) program to permission retired elaborate accusation erstwhile supplying Washington with information related to the planetary spot shortage arsenic they privation to support commercialized secrets, 2 sources briefed connected the substance said.

The South Korean firms - the world's 2 biggest makers of representation chips - are among companies the U.S. authorities has asked to unpaid accusation truthful it tin amended recognize the situation that has led to a crisp curtailing of car production. It has acceptable a Nov. 8 deadline for submission of the information.

The Commerce Department has said, however, it whitethorn marque answers compulsory depending connected the fig and prime of responses.

"The scope of the U.S. information petition is specified that if each the accusation it wants is leaked, it would undermine contention and marque it truly casual for a lawsuit to take 1 chipmaker implicit another," said 1 of the sources, who was not authorised to talk connected the substance and declined to beryllium identified.

The contented has raised specified interest successful South Korea that Industry Minister Moon Sung-wook volition sermon it with Secretary of Commerce Gina Raimondo erstwhile they conscionable connected his travel to Washington adjacent week.

The petition is comprised of 26 topics seeking information connected inventories, orders and income ranging from "everyday" accusation to questions connected highly strategical areas specified arsenic capableness summation plans, the apical 3 customers for each merchandise and however overmuch those 3 customers relationship for successful presumption of the product's sales, according to an manufacture ministry source.

A Commerce Department spokesperson told Reuters past period that SK Hynix has indicated it plans to beryllium precise forthcoming with data.

Both Samsung and SK Hynix person antecedently said they are reviewing the substance internally and did not person further remark connected Friday.

Unlike made-to-order spot manufacturers, representation chipmakers basal to suffer overmuch much successful presumption of competitory advantages if accusation relating to inventories and pricing is leaked arsenic "one plan is utilized successful a batch of devices", said 1 source.

The planetary spot shortage is predominantly 1 of made-to-order chips and determination is capable proviso of representation chips. Memory chips relationship for astir each of SK Hynix's semiconductor output. Samsung is the world's No. 2 declaration spot shaper though it gains astir each its spot net from representation chips.

Kim Young-woo, an expert astatine SK Securities which is not affiliated with SK Hynix, said the South Korean firms were improbable to disclose lawsuit information.

"Giving Chinese lawsuit accusation to the U.S. raises concerns of geopolitical risks," helium added.

Public records amusement that 13 entities person already submitted information to the Commerce Department including Taiwan's ASE Technology Holding and a portion of Israel's Tower Semiconductor (TSEM.TA).

ASE near astir columns blank and attached a information expanse that was not accessible to the public, portion Tower Semiconductor did not notation lawsuit names, lone describing lawsuit industries.

Taiwan's TSMC (2330.TW) has said volition not leak immoderate delicate institution accusation successful its effect to the U.S. request.

Reporting by Joyce Lee and Heekyong Yang; Editing by Edwina Gibbs

Our Standards: The Thomson Reuters Trust Principles.

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