The US government has reportedly instructed Taiwan Semiconductor Manufacturing Company (TSMC) to stop supplying advanced chips to Chinese customers starting today on 11 November 2024. According to Reuters, citing a source familiar with the matter, the US Department of Commerce issued a letter imposing export restrictions on chips with 7-nanometer or more advanced designs, which are widely used in artificial intelligence (AI) accelerators and graphics processing units (GPUs).
The decision follows recent revelations about Huawei’s alleged use of TSMC chips. Last month, the chip manufacturer informed the Commerce Department that one of its chips was identified in an AI processor manufactured by the Chinese tech giant. Huawei is under strict U.S. trade restrictions, and the shipment pause aims to help the US government investigate whether other companies are rerouting chips to the company.
In response to the Commerce Department’s directive, TSMC has notified affected customers that shipments of restricted chips will be suspended starting today. Prior to this, Bloomberg reported that the chip manufacturer had halted shipments to a client suspected of illegally passing the chips to Huawei in mid-October 2024.
In a statement to Reuters, Taiwan’s economy ministry confirmed TSMC’s ongoing discussions with the US government on export control matters, assuring that the company would adhere to all relevant domestic and international regulations. Meanwhile, TSMC told the publication that it is “committed to complying with all applicable rules and regulations, including applicable export controls.”
(Source: Reuters)
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