AI Chips and Advanced Semiconductor Equipment Designated as Strategic Materials...Government Approval Now Required for Export

Revision of the Strategic Goods Export and Import Notice

Stronger Controls on High-Performance AI Integrated Circuits, Exposure, Etching, and Deposition Equipment

Abolition of the Exporter's Affidavit...Reduced Administrative Burden for Exporting Companies

The government will add high-performance integrated circuits for artificial intelligence (AI) and advanced semiconductor manufacturing equipment to its list of strategic materials. This measure reflects the global trend toward stronger export controls and means that any company seeking to export these items must now obtain government approval.

On September 1, the Ministry of Trade, Industry and Energy announced the enforcement of the revised "Strategic Goods Export and Import Notice," which includes these changes. The amendment process was completed after an administrative notice period from July 13 to August 12.

The core of this revision is the incorporation of about 80 amendments on strategic goods, as decided by the four major international export control regimes—Wassenaar Arrangement (WA), Australia Group (AG), Nuclear Suppliers Group (NSG), and Missile Technology Control Regime (MTCR)—into domestic regulations.

The four major international export control regimes are multilateral consultative bodies aimed at controlling the export of strategic goods that can be used in the development, production, and use of weapons of mass destruction, including nuclear, biological, and chemical weapons, as well as missiles and conventional arms. South Korea and other member countries reflect the items agreed upon as necessary for control in their respective national laws each year.

Recently, controls have tightened on "dual-use" items, which can be utilized for both industrial and military purposes. In particular, the scope of international collaboration on export controls is expanding to include advanced industries such as semiconductors and bio sectors.

Accordingly, the government has designated as additional strategic materials high-performance integrated circuits for AI, advanced semiconductor manufacturing equipment, and nucleic acid synthesizers—items subject to export controls by major countries such as the United States, European Union (EU), and Japan. As of today, companies exporting these items must obtain export approval from the Ministry of Trade, Industry and Energy.

For AI integrated circuits, products with a "total processing performance" of 6,000 or more are included in the control list. Exposure, etching, and deposition equipment for semiconductor manufacturing with specific specifications are also newly subject to export controls.

Conversely, export control standards have been relaxed for some items. The energy density criterion for high-energy secondary batteries—a condition for being subject to control—has been raised from exceeding 350Wh/kg at 20℃ to exceeding 500Wh/kg. The criteria related to botulinum toxin have also been clarified as "botulinum neurotoxin." In addition, technical explanations, references, and terminology have been refined to make the control standards clearer.

Laws and regulations have been improved to reduce administrative burdens for exporting companies. The ministry has abolished the "exporter’s affidavit," which previously had to be submitted when applying for export approval of strategic goods. The obligations of the exporter, which were included in the affidavit, have been moved to the main body of the notice.

To reflect feedback from companies, various forms such as the application for professional determination, comprehensive export approval, end-user affidavit, confirmation of import purpose, and final consignee statement have also been revised. Terminology has been clarified and instructions for completing the forms have been made more specific to enhance convenience for companies using the system.

The ministry plans to provide guidance on the revisions to industry associations and will continue to offer business consultations through the "Export Control Issues Desk" within the Trade Security Management Institute.

This content was produced with the assistance of AI translation services.