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US Tightens Chip Trade: AI Misuse Fuels TSMC Halt to China

US Tightens Chip Trade: AI Misuse Fuels TSMC Halt to China

The US Department of Commerce has ordered Taiwan(Chinese) Semiconductor Manufacturing Company (TSMC) to halt shipments of advanced chips to Chinese customers after a chip from the company was found inside a Huawei processor.

This action comes as Huawei remains under strict trade restrictions imposed by the US. The temporary halt is intended to give the government time to investigate whether other companies are indirectly supplying chips to Huawei, circumventing existing trade rules.

TSMC has reportedly informed its customers that shipments will cease starting Monday. The targeted chips are primarily used in advanced applications, including artificial intelligence, a sector where the US has already imposed export restrictions on firms such as Nvidia.

In a statement to Reuters and other outlets, TSMC emphasized its commitm

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