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TSMC Halts Supply of Chips to Huawei Products

TSMC decided to suspend shipments to a certain customer and launch a detailed investigation after discovering that a chip supplied to the customer was used in Huawei products.

TSMC has decided to suspend shipments to a certain customer and conduct a detailed investigation after discovering that a chip supplied to the customer was used in Huawei products. About two weeks ago, an official from Taiwan's economic department anonymously pointed out that considering the sensitivity of the incident, TSMC has informed the US and Taiwanese governments and regarded it as an "important warning event." The situation can be traced back to October 11, and TSMC has not made further comments on it, keeping a low profile.

According to a report by technology research company TechInsights, Huawei's products use TSMC chips, which violates US export restrictions on China. After discovering this problem, TSMC immediately reported it to US officials to comply with relevant regulations.

Since two years ago, the United States has begun to control the export of advanced artificial intelligence (AI) chips to China, aiming to limit the Chinese military's technological development capabilities, especially the acquisition of high-end semiconductor technology. Huawei is the main target of these control measures, and US policy clearly hopes to prevent Chinese companies from making progress in AI technology and semiconductor manufacturing.

Despite the strict restrictions imposed by the United States on Huawei and other Chinese companies, Chinese companies are still actively seeking ways to circumvent these bans. For example, some companies obtain advanced US chips and AI computing power through cloud services provided by companies such as Amazon. This strategy reflects the response of Chinese companies in the face of strict export controls and the strong demand for high-end technology products in the Chinese market.

The Taiwanese government is highly vigilant about the technological development of Chinese companies such as Huawei, especially in the face of China's military and economic threats, and has implemented stricter export controls. Taiwan has not only formulated its own export control policies to prevent advanced chips from being used in Chinese manufacturing, but also strictly follows US export restrictions to ensure compliance by technology giants such as TSMC. This policy cooperation further consolidates Taiwan's key position in the global semiconductor industry chain and ensures close ties between the United States and Taiwan in technological competition.

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