# Applied Materials pays $252M penalty for illegal semiconductor equipment exports to China

## Description
BIS imposed a $252 million penalty on Applied Materials—the second-highest penalty ever assessed by BIS—for illegally exporting semiconductor manufacturing equipment to an Entity List company in China. The company routed shipments through Korea to evade license requirements. The case demonstrates BIS's aggressive enforcement posture toward semiconductor-related export violations and efforts to circumvent Entity List restrictions.

## Sources
- Official [BIS Press Releases - Applied Materials Penalty (February 12, 2026)](https://www.bis.gov/news-updates)

## Key Findings
Applied Materials pays $252M penalty for illegal semiconductor equipment exports to China