The U.S. Commerce Department has not approved export licences that would let SK hynix finish fitting out a NAND cleanroom in Dalian, and the deadlock is threatening how the group pays for its American expansion.
Solidigm, the U.S. NAND unit, plans to spend about $45B on two fabs at Marcy in Oneida County, New York, with long-term investment that could reach $100B. The first plant would start at 100,000 12-inch wafers a month. Each fab is estimated at $40B to $50B, and New York State is weighing up to $50M for site preparation.
A licence fight over whether equipment counts as expansion
SK hynix’s plan was to raise output at Dalian first and use the revenue to help finance New York. Commerce has refused to clear U.S.-made tools for the China site.
The two sides disagree on a definition. SK hynix argues the cleanrooms were completed in 2023, so installing equipment fills existing space rather than adding capacity. Washington reads the request as an upgrade and a capacity increase.
Solidigm executives, including co-CEO Richard Chin, have met Commerce officials nearly ten times since late August. At a meeting last week Under Secretary Jeffrey Kessler held the line, though the application has not been formally rejected.
The money question is live because SK hynix shelved Solidigm’s pre-IPO and listing review on October 23. It held KRW 114.46T in cash-like assets at the end of the third quarter, but is also building in Korea. One option is its convertible bonds tied to Kioxia, a stake valued near KRW 23T, though Kioxia’s share price has fallen about 64 percent from its June peak.
