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US pushes TSMC, Samsung to tighten China chip supplies

The United States is planning additional regulations to further restrict the flow of advanced chips from TSMC and other manufacturers to China, according to a Bloomberg report on Wednesday.

These proposed measures aim to encourage companies like TSMC, Samsung Electronics, and Intel to more rigorously vet their customers for any connections to blacklisted Chinese entities.

This move adds to the growing list of restrictions imposed by the Biden administration in recent years.

The report follows closely on the heels of the U.S. introducing additional restrictions on the export of advanced artificial intelligence chips, part of its ongoing effort to limit China’s access to cutting-edge technology.

This week, the U.S. implemented caps on the number of AI chips that can be exported to most countries, with unlimited access to U.S. AI technology reserved exclusively for America’s closest allies.

Recent reports revealed that a shipment of TSMC’s advanced chips was secretly diverted to Huawei Technologies, a company blacklisted by the U.S. due to alleged ties to the Chinese military.

Huawei, one of China’s leading chipmakers, has developed chips that compete with offerings from major companies like NVIDIA Corporation.

The latest round of restrictions extends beyond China and marks the culmination of four years of continuous chip crackdowns under the Biden administration.

It is now uncertain how incoming President Donald Trump will approach chip restrictions against China.