Taiwan Adds Huawei, SMIC to Export Control List Amid Security Concerns

Taiwan has added Chinese tech giants Huawei Technologies and Semiconductor Manufacturing International Corp (SMIC) to its export control list, tightening restrictions on high-tech trade with mainland China.

Credit: SMIC

The move, announced by Taiwan’s Ministry of Economic Affairs on June 10, places the companies alongside entities such as the Taliban and al Qaeda on the strategic high-tech commodities entity list.

Taiwanese firms must now obtain government approval before exporting products to Huawei or SMIC.

The ministry said the update was made following a recent review based on national security and arms proliferation concerns.

A total of 601 entities were added to the list, including organisations from China, Russia, Pakistan, Iran, and Myanmar.

The ministry urged manufacturers to comply with export control regulations, fulfil verification obligations, and assess transaction risks carefully.

Huawei and SMIC are central to China’s ambitions in chipmaking and artificial intelligence.

Taiwan is home to Taiwan Semiconductor Manufacturing Co (TSMC), the world’s largest contract chipmaker and a key supplier to companies like Nvidia.

Credit: HUAWEI

Huawei is already on a U.S. Commerce Department trade list that restricts its access to U.S. goods and technology, including foreign-made chips produced with U.S. tools.

Last October, Canadian research firm TechInsights found a TSMC chip inside Huawei’s 910B AI processor, considered the most advanced AI chip mass-produced by a Chinese firm.

Following the discovery, TSMC halted shipments to China-based chip designer Sophgo, whose chip matched the one in the Huawei 910B.

In November, the U.S. Commerce Department ordered TSMC to stop shipping additional chips to Chinese customers.

Taiwan’s government has pledged to crack down on Chinese efforts to steal technology and lure semiconductor talent from the island.

SMIC, China’s largest chipmaker, has increased investment to expand production and boost domestic semiconductor capabilities amid U.S. export restrictions.

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• Taiwan added Huawei and SMIC to its export control list on June 10

• Taiwanese firms now need approval to export to these companies

• 601 entities were added, including groups from China, Russia, and Iran

Source: REUTERS