Apple NASDAQ:AAPL is testing memory chips from China's ChangXin Memory Technologies (CXMT) for devices sold in China as it looks to diversify its local supply chain, according to a Wednesday media report.
The reported move comes as Apple also seeks U.S. approval for wider use of CXMT components, even as Washington continues tightening restrictions on China's semiconductor sector, according to the Financial Times.
CXMT is expected to play a larger role in China's push for semiconductor self-sufficiency and is preparing an initial public offering that could raise at least 29.5 billion yuan ($4.3 billion). Apple previously faced political criticism in 2022 after considering Chinese memory suppliers for its products.
Apple shares edged up about 0.6% in pre-market trading.