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Noooo China, you can't make your own Chips...
(lemmygrad.ml)
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Rules:
The company being sanctioned violating sanctions is a headline I didn't expect to read. Usually it would be a company that is supposed to follow sanctions that would violate them. The sanctioned company would already be violating the sanctions by being the sanctioned company.
Apparently, the problem is that US technology is present throughout SMIC operations; that, existing rules demand that companies that rely on US technology exports must seek prior consent before exchanging products that contain said technologies.
Regardless, it's a moot point. It's blatantly clear that the US is trying to suppress Chinese technological growth, so there's no long-term incentive to play by the US' rule.