Chang Xin Memory Technologies (CXMT), a Chinese industrial policy success story, has rapidly become a major global memory chip supplier, with PC makers HP, Asus, and Acer using its chips, and Apple seeking to integrate them.

Despite semiconductor manufacturing equipment (SME) being an area where democracies have restricted Chinese mercantilism, the Biden administration exempted CXMT from many restrictions. This has allowed CXMT's extraordinary growth, raising concerns for US companies like Micron Technology, especially given the chip industry's cyclical nature.

President Trump's administration has reportedly backed down on adding Chinese companies to the "Entity List" and paused plans to restrict access to advanced chips. Congress, however, is pushing back with legislation like the Match Act, AI Overwatch Act, and Chip Security Act, aiming to ban advanced SME exports to China and secure domestic chip availability. Trump is urged to support these measures, and Republicans in Congress are encouraged to stand firm against White House pressure. The article also highlights a loophole regarding remote access to data centers containing advanced chips, addressed by the proposed Remote Access Security Act.