Trump blocks chip deal over China security concerns.

The White House ordered HieFo to divest and unwind its purchase of Emcore chip assets, saying the buyer was controlled by a Chinese citizen.

President Trump has blocked a semiconductor asset sale that the White House said posed national security risks. The transaction involved Delaware-based HieFo Corp.'s purchase of chip assets from Emcore. The administration's action followed a national security review by the Committee on Foreign Investment in the U.S. Key facts: - The White House released an order saying HieFo was set up and controlled by a Chinese citizen and that the transaction posed security risks. - The agreement to acquire Emcore's chip assets was reported as nearly $3 million and the companies said they largely completed the deal in 2024. - Cfius reviewed the transaction and ordered HieFo to divest the Emcore assets and to unwind the purchase. Summary: The action is described as part of the administration's effort to limit certain technology transfers to entities linked to China. The order requires divestment and unwinding of the transaction as the next procedural step.