South Korean companies have secured an indefinite waiver to continue using US equipment in their China-based factories.

South Korean companies, such as Samsung, rely on factories in China for much of their production. With the US working to cripple China’s ability to produce advanced semiconductors, the firms were concerned that sanctions would prevent them from using US equipment in their factories in China.

According to Reuters, the US has granted South Korean firms an indefinite waiver, giving them the ability to use said equipment in their Chinese factories without reprisal.

“Through close coordination with relevant governments, uncertainties related to the operation of our semiconductor manufacturing lines in China have been significantly removed,” Samsung said.

“We welcome the U.S. government’s decision to extend a waiver with regard to the export control regulations,” said SK Hynix. “We believe the decision will contribute to the stabilisation of the global semiconductor supply chain.”