The company had been blacklisted by the US government. Xiamen San´an Optoelectronics is one of at least three Chinese customers of Applied Materials mentioned in the black list, reports Nikkei Asian Review. Although the US government does not impose direct embargoes on the companies mentioned in the list, American suppliers should treat these companies with caution. The American equipment manufacturers can no longer rely on licences already granted for the supply of machines or for maintenance work, but have to apply for new licences.
Apparently Applied Materials has already withdrawn its own service teams and instructed its suppliers to do the same.
The CEO of Applied Materials, Gary Dickerson, had only visited SEMICON China at the end of March and explained that the trade tensions between the USA and China could endanger "decades of growth". If both countries failed to resolve their conflicts, they would find themselves in a "Loose Loose" situation. Applied Materials currently generates around 26 percent of its sales in China.