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TSMC Flags Potential Huawei Export Control Breach, Intensifying US-China Tech Tensions

TSMC Flags Potential Huawei Export Control Breach, Intensifying US-China Tech Tensions

TSMC Alerts U.S. Government to Potential Huawei Export Control Bypass

Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s leading semiconductor manufacturer, has informed the U.S. government about a possible attempt by Huawei Technologies to circumvent U.S. export controls. This development comes amid ongoing efforts by the United States to restrict the export of high-end AI chips to China, aiming to limit the Chinese military’s technological capabilities.

TSMC has clarified that it has not supplied chips to Huawei since mid-September 2020 and is not currently under investigation. However, the company’s U.S.-listed shares experienced a 1.5% decline following the news.

The U.S. export controls, which prohibit global chip manufacturers from using American technology or equipment to produce chips for Huawei, are part of a broader strategy to prevent Chinese companies from accessing advanced semiconductor technology. Huawei has become a central focus of these export controls, highlighting the intensifying tech rivalry between the United States and China.

In a recent development, TSMC reported to the U.S. Commerce Department after receiving an order for a chip similar to Huawei’s Ascend 910B, a processor used for training large language models. This notification underscores the ongoing tensions and regulatory challenges in the semiconductor industry.

The U.S. Commerce Department and Huawei have not yet commented on the situation.

This incident reflects the complex geopolitical implications of technology and trade relations between the United States and China. As the semiconductor industry continues to navigate these challenges, the global tech landscape remains in a state of flux, with potential far-reaching consequences for international trade and technological advancement.

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