TSMC stops chip supply after Huawei link discovered
Taiwan enforces strict export rules following a report suggesting TSMC chips bypassed US restrictions.
Taiwan Semiconductor Manufacturing Company (TSMC) has halted chip shipments to a client after discovering its components were found in a Huawei product. This action came about two weeks ago, triggering a detailed investigation to assess the situation’s full scope. A Taiwanese trade official, speaking anonymously, confirmed the development due to its sensitive nature.
The incident has raised alarms due to potential violations of US export controls. TSMC notified both US and Taiwanese authorities, categorising the discovery as a significant internal warning. While the client involved remains undisclosed, TSMC is cooperating with officials but has refrained from commenting further.
The controversy follows a report by TechInsights, which disassembled a Huawei device and found TSMC chips. Such findings suggest the chips may have bypassed US restrictions designed to limit China’s access to advanced technology, particularly to curb military advancements. Taiwan, mindful of growing regional tensions, enforces strict export rules in alignment with the US.
Huawei has long been a focal point of US efforts to control the flow of advanced technology to Chinese entities. Despite these restrictions, Chinese companies have sought workarounds, including using cloud platforms like Amazon’s to gain access to advanced US chips. Taiwan continues to monitor such risks closely, aiming to uphold compliance with international export regulations.