Bae, Kim & Lee and Reed Smith hold seminar on semiconductor export control strategies

Bae, Kim & Lee's Export and Import Regulatory Response Center said Friday it concluded a joint seminar with global law firm Reed Smith LLP on semiconductor export control issues and corporate response strategies in South Korea and the United States.

The seminar, held Thursday, drew about 100 representatives from major domestic and foreign chipmakers and related organizations. It was organized to assess the regulatory risks facing Korean companies — including South Korea's strategic materials controls and the extraterritorial application of the US Export Administration Regulations (EAR) — and to discuss practical response measures, as export controls over advanced technologies shift rapidly amid the intensifying US-China technology rivalry.

In the first session, Lee Ji-han, a director at the Korea Semiconductor Industry Association, presented on the current state of the domestic and global semiconductor industry. Lee said global supply chain restructuring is accelerating as major economies including the United States, the EU, Japan and China compete to attract manufacturing facilities through subsidies and tax incentives. He also said export control coordination among allied nations is increasing uncertainty in the business environment for Korean companies.

Hwang Ho-sung, head of Bae, Kim & Lee's Export and Import Regulatory Response Center, then delivered an in-depth analysis of the latest regulations in both countries under the theme of semiconductor export control trends. Hwang explained that domestic regulations have tightened, with control standards for high-performance integrated circuits restructured under the strategic materials export and import notice and various semiconductor manufacturing equipment added to the list of newly controlled items. He also outlined key regulatory changes related to the US EAR, highlighting risks that companies should proactively examine — including product classification by semiconductor sector, the extraterritorial application of the Foreign Direct Product Rule (FDPR), and deemed exports.

Michael J. Lowell, a partner at Reed Smith, led the third session, presenting on US enforcement trends and defense strategies for semiconductor companies. Lowell stressed the importance of regular export control training, screening systems that include beneficial owners, internal escalation procedures and enhanced due diligence frameworks. He urged companies to establish proactive compliance systems, warning that regulatory violations can deal a fatal blow to an entire business — not just through criminal and administrative sanctions.

Bae, Kim & Lee's Export and Import Regulatory Response Center provides advisory services across the full range of trade regulations, including strategic materials, economic security, tariffs and foreign exchange transactions, and supports companies in managing global regulatory risks through collaboration among field specialists. The center has also demonstrated integrated advisory capabilities by proactively managing complex regulatory risks through cross-team collaboration — including with its Export and Import Regulatory and Law and Economics Center — in high-complexity merger and acquisition transactions.

Founded in 1980, Bae, Kim & Lee offers one-stop legal services across all practice areas through overseas offices in Beijing, Vietnam and Singapore. The firm has been recognized internationally, having been named to the Global 200 law firms list for eight consecutive years and receiving the top law firm award across all categories at the 2025 Asian Business Law Journal Korea Law Firm Awards.