Sat Jan 03 03:01:21 UTC 2026: Here’s a summary of the text followed by a rewritten news article:

Summary:

In a surprising move, President Donald Trump has ordered the reversal of a 2024 computer chip deal between Emcore Corp. and HieFo Corp. Trump cites national security concerns due to the alleged Chinese citizenship of HieFo’s current owner, Dr. Genzao Zhang. He is demanding that HieFo divest the technology acquired from Emcore within 180 days. The original deal, valued at $2.9 million, involved Emcore selling its computer chip and wafer fabrication operations to HieFo. HieFo has yet to comment.

News Article:

Trump Blocks 2024 Computer Chip Deal Citing Security Concerns

Washington, D.C. – January 3, 2026 – President Donald Trump has issued an executive order to unwind a $2.9 million computer chip deal made between Emcore Corp. and HieFo Corp. in May 2024 during the Biden administration. The order, issued Friday (January 2, 2026), claims the deal poses a threat to U.S. national security.

The core of the issue lies in the ownership of HieFo Corp. President Trump stated that he has “credible evidence” that the current owner, Dr. Genzao Zhang, is a citizen of the People’s Republic of China. The deal involved Emcore, an aerospace and defense specialist, selling its computer chip and wafer fabrication operations to HieFo.

Trump’s order mandates that HieFo divest the acquired technology within 180 days.

At the time of the 2024 acquisition, HieFo released a statement indicating their intent to continue operating with the existing Emcore team in Alhambra, California. Dr. Zhang, formerly a Vice President of Engineering at Emcore and now HieFo’s CEO, pledged to pursue innovative solutions, including those related to artificial intelligence.

HieFo has not yet responded to requests for comment. Emcore was a publicly traded company at the time of the deal but was taken private last year by investment firm Charlesbank Capital Partner. The move raises questions about the vetting process surrounding foreign investment in strategically important U.S. technologies.

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