Micron resumes some chip shipments to Huawei, boosting stock

(Reuters) – Memory-chip maker Micron Technology Inc said it had resumed some shipments to China’s Huawei Technologies Co Ltd and still expected demand for its chips to recover later this year, sending its shares 10% late on Tuesday.

Micron resumes some chip shipments to Huawei, boosting stock 1

FILE PHOTO: Memory chip parts of U.S. memory chip maker MicronTechnology are pictured at their booth at an industrial fair in Frankfurt, Germany, July 14, 2015. REUTERS/Kai Pfaffenbach

Micron Chief Executive Sanjay Mehrotra said the Idaho-based maker of chips for smartphones and other devices resumed shipping some chips in the past two weeks after it reviewed the U.S. ban on selling products to the China-based telecommunications company.

“We determined that we could lawfully resume shipping a subset of current products because they are not subject to export administration regulations and entity list restrictions,” Mehrotra said on a conference call with investors.

“However, there is considerable ongoing uncertainty surrounding the Huawei situation, and we are unable to predict the volumes or time periods over which we will be able to ship products to Huawei,” he added.

Micron and other chipmakers suspended shipments to Huawei after…

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