...We take our responsibility as a good corporate citizen seriously. Microchip complies with applicable laws, including export controls and trade sanctions. Microchip undertakes “know your customer” due diligence.

We have a team that conducts “know your customer” due diligence with respect to potential export compliance matters, which includes screening for red flags and review for potential prohibited uses of our products. We review transactions to address export compliance issues before shipment using both personnel and widely adopted tools designed specifically for this purpose. We screen parties to our transactions against various restricted parties lists administered and enforced by multiple governmental agencies in various jurisdictions. These programs are designed to allow Microchip to avoid engaging with sanctioned or embargoed parties who might use Microchip products in prohibited applications.

We require our customers and distributors to comply with applicable export control laws, including prohibitions of “military end use” in China, Russia, and Venezuela, 85 Fed. Reg. 23459 and 85 Fed. Reg. 34306 (pursuant to Microchip standard terms and conditions of sale, and standard contracts with distributors). We require: End Use Certificates (EUCs) for certain transactions including, for example, EUCs from our distributors; End Use Statements (EUS, which are more detailed than EUCs) for shipments of highly controlled products; and EUS for higher risk countries (e.g., Iraq, Kazakhstan, Kyrgyzstan, Uzbekistan, etc.).

Microchip is actively engaged with the Semiconductor Industry Association (SIA), U.S. government agencies, and others in the industry to address the challenges of semiconductor product diversion from legitimate purchasers to unauthorized users.1 We also partner with other government authorities and law enforcement organizations on a voluntary basis to identify channels by which our products may be being diverted from legitimate customers, and in support of our efforts to stop those making and selling counterfeits of our products...