TSMC may no longer deliver Huawei smartphone chips

The US government is now closing the chip tap on Huawei. According to the Trump administration, the Chinese supplier of giant smartphones and the supplier of telecommunications equipment can no longer ship with processors and similar products from their suppliers.

As in the US, the Department of Commerce announced today that guidelines for companies that are “blacklisted” and therefore effectively affected by the trade ban are being adjusted so that it becomes more difficult for Huawei to purchase processors and other products that are manufactured using The technology is manufactured by US manufacturers.

Suppliers need U.S. permission to work for Huawei

In particular, now the Taiwanese contract manufacturer TSMC. The largest supplier of this type in the world can hardly supply the Huawei HiSilicon Kirin series chips manufactured by Huawei, the Chinese manufacturer. The reason for this is the fact that most of the production facilities of TSMC are also owned by American companies since US suppliers dominate this niche.

According to the Trump administration, the Chinese supplier of giant smartphones and the supplier of telecommunications equipment can no longer ship processors and similar products from their suppliers.

Since the TSMC now requires U.S. government approval to manufacture Huawei chips on manufacturing equipment supplied by U.S. manufacturers for a smartphone vendor that is banned from trading. The contract manufacturer should probably stop working with Huawei for the time being. However, there is a certain amount of time during which TSMC can still deliver Huawei.

Last regular wafer deliveries must be completed in 120 days

In particular, the U.S. Department of Commerce announced that wafers that are currently in production can still be delivered to Huawei within 120 days. However, it is expected that delivery must be guaranteed to be completed during this time. It is said that the production of chips should begin by Friday.

With the adjustment of the so-called foreign direct food rule, the US government is responding to the alleged “exploitation of high-tech loopholes” by Huawei and its subsidiaries. Which allowed the Chinese company to manufacture products despite the US ban on trade. ” US Technologies. “In fact, it intervenes in the activities of foreign companies to prevent their collaboration with Huawei.

In fact, Huawei only uses options available in the international market because various other companies manufacture their TSMC products. The Taiwanese contract manufacturer logically uses the machines developed by these manufacturers in collaboration with US companies to produce the chips ordered by its customers.

The reason for the tightening of the currently tightened US rules is an unclear fear on the part of the government, presumably exploiting security gaps. For years, Huawei has been accused of allowing the Chinese government to spy and control its products in Western countries such as the United States. However, to date, this has not been proven by either the U.S. Secret Services or authorities or private security experts.