The trade dispute between the US and China is continuing this week, with reports saying that TSMC has stopped taking new orders from Huawei as the US attempts to limit chip supplies.
The US government announced last Friday that semiconductors making chips abroad with U.S. technology would require licenses for sales to Huawei. As reported by Nikkei (via Reuters), this has apparently forced TSMC to halt new orders from one of the world’s largest smartphone companies.
Huawei already had orders in place with the Taiwan Semiconductor Manufacturing Company prior to the latest restrictions from the US government, so those supplies will not be impacted.
TSMC is of course, one of the world’s biggest chip makers, with a hefty client list consisting of Apple, AMD, Nvidia, Huawei and more. This news comes shortly after the announcement that TSMC will be opening up a new fabrication plant in Arizona, USA.
KitGuru Says: The timing of this raises some eyebrows, as TSMC will expand operations to the United States. Of course, a license to sell to Huawei in the future could still be granted, it will just require some extra paperwork and red tape.