Comment / Lessons from German fab builder's $1.5m US fine

ID 378073 © Richard Lister | Dreamstime.com

The US Bureau of Industry and Security (BIS) has recently extracted a $1.5 million settlement from Stuttgart-based engineering group Exyte Management GmbH, for what amounts to a compliance failure – notably, for a multi-billion-revenue business – that should alarm every supply chain executive operating in or around China.

Background

Between March 2021 and March 2022 (more here), Exyte’s Shanghai subsidiary facilitated the transfer of 884 items – flowmeters, pressure transmitters, programmable logic controllers, and voltage sag protectors worth $2.85 million, to Semiconductor Manufacturing ...