US President Donald Trump has blocked a Chinese‑linked semiconductor deal, saying it could threaten national security. An executive order issued on January 2 requires HieFo Corporation to sell certain Emcore Corp. assets within 180 days. The move reflects growing concern over foreign access to sensitive US technology.
The deal, completed in 2024, involved HieFo, a Delaware‑registered company, buying Emcore’s computer chip business and wafer fabrication operations for $2.9 million. Emcore, based in New Jersey, was a public aerospace and defense technology company before the sale.
Trump’s order said there is “credible evidence” that HieFo is controlled by a Chinese national and that the deal could harm US security. The order did not give full details but shows the government’s worry about foreign control of important technology.
The Committee on Foreign Investment in the United States (CFIUS) reviewed the transaction and identified risks. HieFo now has six months to divest all rights and assets globally unless CFIUS allows more time.
The assets include technology and facilities used for chip design and wafer production, which are important for both commercial and defense purposes. The move highlights the US effort to stop Chinese-linked companies from accessing advanced semiconductor technology amid global tech competition.
Neither HieFo nor Emcore has commented publicly yet.