Bitmain has announced the start of a US production line to combat delays caused by Customs Holds, and navigate escalating Trade tensions.
Bitmain, in a statement dated Dec. 9, highlighted the advantages of local production.
“This strategic move aims to provide faster response times and more efficient services to North American customers.”
First Antminer S21 Pro units made in the US are expected to arrive this December.
The decision follows reports of significant hold-ups by the US Customs and Border Protection (CBP), which has detained shipments of Bitmain’s Antminer devices over national security concerns linked to the company’s supply chain.
Supplies chain problems
The launch of US operations follows significant disruptions for American miners, who have faced delays of up to two months after CBP detained shipments of Bitmain’s S21 and T21 application-specific integrated circuits (ASICs). Some companies have reported spending hundreds of thousand of dollars on storage fees in order to wait for their equipment.
The delays are reportedly tied to concerns over Bitmain’s ties to chip designer Sophgo, which is under investigation by US authorities for alleged connections to Huawei.
Huawei is a major target of US Sanctions since 2019 and has increased scrutiny on Chinese Tech Companies. Miners are scrambling for critical equipment after the investigation, which exposes the dangers of relying on Chinese manufacturers.
Bitmain’s decision to produce ASICs domestically could alleviate these challenges, ensuring a more stable supply chain while avoiding potential tariffs expected under the incoming Trump administration. Bitmain wants to keep its market dominance while also addressing concerns from North American customers.
Strategic shift
US mining has grown to be a major hub, with a substantial share of global hashrate. However, the industry’s reliance on Chinese-manufactured equipment has made it vulnerable to geopolitical and regulatory disruptions. Bitmain’s expansion into the US represents a proactive effort to reduce these risks and strengthen its competitive position in the region.
It is anticipated that the Antminer S21 Pro will be rolled out from this new US facility, providing miners with the much needed boost to efficiency. This should also reduce the operational uncertainty. Analysts note that Bitmain’s move also signals a broader industry trend of diversifying production locations to adapt to shifting trade and regulatory landscapes.
The impact of US-China trading policies on the crypto industry remains uncertain as the Trump Administration prepares for its inauguration. The establishment of US production by Bitmain, and the wider mining community marks an important step for navigating the rapidly changing market.
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