06:22 AM EDT, 09/02/2025 (MT Newswires) -- China sales of KLA (KLAC), Lam Research ( LRCX ) , and Applied Materials (AMAT) could take a hit from recent licensing changes in the US, Reuters reported Friday.

Shares of KLA and Applied Materials were down more than 1% in recent premarket activity Tuesday, while Lam Research ( LRCX ) shares were down more than 3%

The US Commerce Department's Bureau of Industry and Security will remove Intel's (INTC) Dalian unit in China, Samsung China Semiconductor, and SK hynix Semiconductor's China operations from the Validated End-User list. Reuters said this means the companies will now need to secure licenses to buy US equipment for China.

According to the report, the Commerce Department said the US intends to grant licenses allowing the companies to continue operating their existing facilities in China, but not the licenses to expand capacity or upgrade technology at the facilities.

KLA, Lam Research ( LRCX ), and Applied Materials did not immediately respond to MT Newswires' requests for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)