Apple is lobbying the Trump administration for assurances that it can source memory chips from Chinese manufacturer CXMT without facing future restrictions, as the technology giant seeks to ease mounting cost pressures driven by rising global memory prices.
According to a report by the Financial Times, Apple has approached the US Commerce Department and other administration officials to clarify whether purchasing dynamic random-access memory (DRAM) chips from CXMT would remain permissible despite the company’s inclusion on the Pentagon’s list of Chinese Military Companies.
While CXMT and fellow Chinese memory producer YMTC are not subject to outright bans on commercial transactions, their presence on the Pentagon blacklist has created reputational and political risks for companies considering business relationships with them.
Apple’s move comes as the company grapples with surging memory costs that have been fuelled by robust demand for artificial intelligence infrastructure and tightening supply across the semiconductor industry.
The company recently increased prices of MacBook and iPad models by around 20 per cent, attributing the rise to higher memory component costs.
Seeking to reduce its dependence on existing suppliers and contain costs, Apple is exploring the possibility of adding CXMT to its supply chain, a move that would mark a significant shift in its procurement strategy.
The global DRAM market is currently dominated by South Korea’s Samsung Electronics and SK Hynix, alongside US-based Micron Technology, all of which supply Apple with memory chips for its products.
CXMT, meanwhile, has rapidly established itself as China’s leading domestic DRAM manufacturer. Backed by strong government support, the company has expanded production as Beijing pushes to strengthen its semiconductor self-sufficiency. It has also recently received approval to pursue a stock market listing in Shanghai.
The wider memory market has been reshaped by the rapid expansion of AI computing. Strong demand for high-bandwidth memory (HBM), particularly for AI servers, has benefited Micron and other leading producers while tightening supplies of conventional DRAM used in smartphones, personal computers and other consumer electronics. The supply constraints have contributed to higher prices across the industry.
Although Western Digital spin-off SanDisk focuses on NAND flash memory rather than DRAM, changing dynamics in the broader memory market could also influence pricing and demand for storage chips used in smartphones, computers and data centres.
It remains uncertain whether the White House will approve Apple’s request. The proposal is likely to face scrutiny amid continuing congressional concerns over expanding commercial relationships with Chinese semiconductor firms regarded as strategically important to Beijing.
