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TSMC to Halt Shipments to Huawei, Report Says

The Taiwan Semiconductor Manufacturing Co. said it will stop chip shipments to Huawei due to the Bureau of Industry and Security's increased license restrictions, Nikkei Asian Review reported July 16. TSMC Chairman Mark Liu said the company has not taken…

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any new orders from Huawei since BIS issued a rule May 15 increasing restrictions (see 2005150058), the report said. “Although the regulation just finished its public comment period, the BIS did not make a final ruling change. Under this circumstance, we do not plan to ship wafers [to Huawei] after Sept. 14,” Liu told investors at a conference, according to the report. TSMC did not comment. Liu did not say whether TSMC plans to apply for export licenses. The company recently announced plans to build a chip factory in Arizona (see 2005150033). U.S. lawmakers are concerned that could disadvantage U.S. chip companies if TSMC is awarded unfair subsidies (see 2005200030 and 2005270030).