Semiconductor Manufacturing International Corporation

Shanghai, China

Semiconductor Manufacturing International Corporation (SMIC) is a Chinese semiconductor foundry providing manufacturing services for integrated circuits. As one of China’s leading foundries, SMIC offers a range of process technologies for a variety of applications in the semiconductor industry.

CCI Score

-31.25

0.02% April 18

Latest Event

SMIC Investigated for Illegally Luring Tech Workers

Taiwanese authorities are investigating allegations that SMIC used a shell company posing as a Samoan firm to illegally recruit Taiwanese tech workers in Hsinchu, part of a broader crackdown on talent poaching in the semiconductor industry.

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TOADIE

Semiconductor Manufacturing International Corporation is currently rated as a Toadie.

-30 to -44 CCI Score

Companies scoring in this range actively seek to please authoritarian regimes. They offer proactive support and assistance in exchange for preferential treatment, compromising ethical standards for business gains and political favor.

Latest Events

MAR

28

2025

SMIC Investigated for Illegally Luring Tech Workers
-69.59

Taiwanese authorities are investigating allegations that SMIC used a shell company posing as a Samoan firm to illegally recruit Taiwanese tech workers in Hsinchu, part of a broader crackdown on talent poaching in the semiconductor industry.
-70

Labor Relations and Human Rights Practices

March 28

The investigation alleges that SMIC engaged in deceptive recruitment practices by setting up a shell company to lure Taiwanese tech workers. Such actions undermine fair labor relations and ethical business practices, reflecting a disregard for worker rights and transparency, which is concerning from an anti-authoritarian and pro-worker perspective.

Taiwan Says China's SMIC Suspected of Illegally Luring Tech Workers
MAR

28

2025

SMIC Accused of Illegally Poaching Tech Talent in Taiwan
-69.59

Taiwan's Ministry of Justice Investigation Bureau alleges that SMIC used a Samoa-based entity as a cover to establish a subsidiary in Taiwan, engaging in illegal recruitment of tech talent. The investigation, which began in December 2024 and has involved searches at multiple locations, underscores deceptive business practices that undermine fair recruitment and ethical operations.
-70

Business Practices and Ethical Responsibility

March 28

SMIC is accused of employing a Samoa-based entity as a cover to establish an unauthorized subsidiary in Taiwan for the purpose of poaching tech talent. This practice is deceptive and undermines ethical business norms and fair labor recruitment, contributing to an environment that may indirectly support authoritarian practices by bypassing regulatory oversight and fair competition.

Taiwan alleges China chipmaker SMIC illegally poached tech talent
MAR

28

2025

SMIC Investigated for Alleged Poaching of Taiwanese Engineers
-49.71

Taiwanese authorities have launched an investigation into SMIC, alleging that the company set up a branch under a false Samoa-based guise to unlawfully recruit local engineers, in an effort to access Taiwan’s advanced chip technology.
-50

Labor Relations and Human Rights Practices

March 28

The investigation suggests that SMIC engaged in unethical labor practices by disguising its local branch to poach Taiwanese engineers. This undermines fair labor practices and breaches local hiring regulations, reflecting negatively on the company's business ethics and respect for worker rights.

Taiwan probes China chipmaker SMIC for allegedly poaching staff
NOV

04

2024

US Lawmaker Accuses SMIC of Export Control Violations
-57.34

Republican lawmaker Michael McCaul urged the U.S. Commerce Department to investigate SMIC for allegedly producing advanced chips for Huawei, a move that could bolster China’s military-industrial capabilities. The lawmaker’s letter demands a comprehensive audit of SMIC’s facilities amid concerns of potential export control violations.
-60

Public and Political Behavior

March 28

SMIC is being accused by a prominent Republican lawmaker of violating U.S. export control laws by producing chips for Huawei, which could support China's military capacities. This allegation suggests a potential complicity in state-driven militarization and authoritarian practices, thereby negatively affecting its standing in terms of public and political behavior.

US Needs to Crack Down on Chinese Chipmaker SMIC, Republican Lawmaker Says
SEP

18

2023

US House Committee Urges Sanctions Against SMIC
-55.47

House lawmakers, led by Rep. Mike Rogers and other committee leaders, recommended that the Bureau of Industry and Security revoke licenses and pursue criminal charges against SMIC for allegedly violating U.S. export controls by manufacturing semiconductors used in Huawei’s 5G devices, which are claimed to support the Chinese military.
-65

Public and Political Behavior

March 28

SMIC is implicated in alleged violations of U.S. export control regulations by supplying semiconductors that power Huawei’s 5G devices and thus indirectly supporting the Chinese military. This connection to an authoritarian apparatus raises serious concerns under the Public and Political Behavior category, warranting a negative score.

House Committee Leaders Urge Sanctions Against China's Huawei, SMIC
SEP

15

2023

US Republicans Demand Sanctions on SMIC Amid Export Control Concerns
-37.98

On September 15, 2023, a group of Republican lawmakers in the U.S. called for full blocking sanctions and criminal charges against SMIC (and Huawei), citing concerns that the company’s ability to develop advanced chip technology despite existing export controls may indicate regulatory evasion and possible complicity with CCP-backed practices.
-40

Public and Political Behavior

March 28

SMIC is implicated in a political controversy where U.S. Republican lawmakers have demanded tough sanctions due to its continued operations under US export controls. This situation raises concerns that SMIC’s actions may align with CCP-controlled objectives and undermine democratic oversight, thereby reflecting negatively on its public and political behavior.

US Republicans demand full sanctions, charges against China's Huawei, SMIC
-50

Business Practices and Ethical Responsibility

March 28

The ability of SMIC to continue developing advanced semiconductor technology despite prevailing US export control measures raises questions about its business practices. This is interpreted as a potential circumvention of ethical standards and reinforces concerns over its close ties with CCP-controlled entities, thereby reflecting poorly on its ethical business practices and overall responsibility.

US Republicans demand full sanctions, charges against China's Huawei, SMIC
SEP

07

2023

SMIC Advances Chip Technology Amid US Sanctions Pressure
34.03

Following the launch of Huawei’s Mate 60 Pro—which featured a new 5G processor developed by SMIC—two US congressmen called for an end to US technology exports to both Huawei and SMIC. The political pressure led to a sharp drop in SMIC's share prices, highlighting the company’s advanced chip manufacturing capability under strict export controls.
+40

Technology and Services Impact

March 28

SMIC’s successful production of an advanced 5G chip for the Huawei Mate 60 Pro—despite sweeping US export restrictions—demonstrates resilience in technological innovation. This breakthrough, in the context of politically motivated sanction threats, contributes to strengthening Chinese technological independence and challenges authoritarian trade controls imposed by external powers.

Huawei Mate 60 Pro: Shares in Chinese chipmaker SMIC plunge as US calls for further sanctions
JAN

01

2023

SMIC Publishes 2023 Sustainability Management System Report
55.63

SMIC released its 2023 Integrated Report outlining its Sustainability Management System, which emphasizes the company's commitment to promoting human rights and adherence to international labor standards, consistent with international frameworks such as the International Bill of Human Rights and the ILO Declaration.
+70

Labor Relations and Human Rights Practices

March 28

The report underscores SMIC's commitment to respecting and promoting human rights and labor standards, aligning with international principles. This proactive measure supports fair labor practices and advances positive corporate accountability within its business operations.

Sustainability Management System – 2023 SMIC Integrated Report