U.S. chip equipment makers rely on China for 40% of sales

PALO ALTO, California -- U.S. chipmaking equipment manufacturers have become more dependent on the Chinese market despite Washington's export restrictions on advanced products as they boost shipments of machinery used to make legacy chips.

China accounted for 43% of sales at Applied Materials in the February-April period, up 22 points on the year. China's share of sales at Lam Research rose 20 points to 42% for the January-to-March period.