Memory companies are lobbying for 'tax breaks on consumer electronics' and 'prevention of selective government intervention in the market.'

Amid ongoing memory shortages due to AI demand, it has been revealed that an industry group comprised of major memory companies has sent a letter to U.S. Treasury Secretary Scott Bescent urging him to avoid 'selective government intervention in the market.'

Chip Industry Urges US to Avoid Moves That Distort Memory Market - Bloomberg
https://www.bloomberg.com/news/articles/2026-07-02/chip-industry-urges-us-to-avoid-moves-that-distort-memory-market

SK hynix, Samsung, Micron among semiconductor industry group lobbying against government intervention on domestic memory chip supply — says move would worsen situation, suggests tax deductions on consumer electronics instead | Tom's Hardware
https://www.tomshardware.com/tech-industry/sk-hynix-samsung-micron-among-semiconductor-industry-group-lobbying-against-government-intervention-on-domestic-memory-chip-supply-says-move-would-worsen-situation-suggests-tax-deductions-on-consumer-electronics-instead

Building AI data centers requires massive amounts of memory, and the surge in demand for memory has led to a global memory shortage. This shortage has caused memory prices to rise for both business and personal use, forcing price increases on consumer devices such as game consoles and smartphones.

Amidst the memory shortage, there are also attempts to secure a stable supply in specific sectors through political lobbying of memory manufacturers. For example, Republican Senator Bernie Moreno sent a letter to Commerce Secretary Howard Ratnick on April 14, 2026, stating that 'the Commerce Department should work with Micron, Samsung, and SK hynix to secure memory for the automotive industry.'

Moreno Calls to Restrict Sale of Memory Chips Abroad Until US Auto Industry Fully Supplied - Senator Bernie Moreno
https://www.moreno.senate.gov/press-releases/moreno-calls-to-restrict-sale-of-memory-chips-abroad-until-us-auto-industry-fully-supplied/

The memory industry has reacted negatively to selective government intervention in the market. According to Bloomberg, SEMI , an industry group comprised of major memory manufacturers Micron, Samsung, and SK hynix, sent a letter to Treasury Secretary Bescent dated July 1, 2026. The letter calls for an extension of tax incentives aimed at increasing production in the United States, and states that targeted policies will accelerate the recovery of domestic supply. On the other hand, intervention that distorts pricing and production capacity determination risks prolonging the memory shortage. The letter urges the government not to implement targeted intervention in memory supply.

The letter also includes a proposal to offset the price increases of smartphones and laptops through consumer tax credits, and calls for the government and parliament to discuss tax credits.

Furthermore, the letter states that 'memory production will increase by approximately 19% annually. However, the surge in demand due to AI infrastructure will outpace supply, limiting the supply of everything from laptops and automobiles to home appliances,' suggesting that the memory shortage will be prolonged.