[People News] In response to recent reports from research firms that Taiwan Semiconductor Manufacturing Company (TSMC) chips were found in Huawei products, John Moolenaar, chairman of the U.S. House Select Committee on the Strategic Competition between the United States and the Chinese Communist Party, issued a statement on October 23. He stated that this represents a "catastrophic failure" of U.S. export control policy and called on the U.S. Department of Commerce and TSMC to provide explanations.

According to Radio Free Asia, Congressman Moolenaar said in his statement: “Reports that TSMC-manufactured advanced chips are contributing to Huawei’s AI development represent a catastrophic failure of U.S. export control policy.” He pointed out that AI accelerators are at the forefront of U.S.-China technological competition, and this development could have a significant impact on U.S. national security.

Moolenaar further emphasized: “Congress needs the Department of Commerce's Bureau of Industry and Security (BIS) and TSMC to immediately address the scope and scale of this catastrophe. The U.S. government must take immediate steps to prevent such incidents from occurring again.”

TSMC also released a statement emphasizing that the company strictly adheres to legal requirements, including export control regulations. Since mid-September 2020, it has ceased supplying products to Huawei and has proactively communicated with the U.S. Department of Commerce on this matter, asserting that it is not currently under investigation.

According to Taiwanese media, Taiwan’s Executive Yuan spokesperson, Li Huizhi, emphasized on October 24 that the relevant economic departments are aware of international export control regulations. Taiwan will continue cooperating internationally to ensure the security and resilience of the global supply chain.

Taiwan’s Ministry of Economic Affairs also stated to AFP that TSMC had informed the government of this incident but did not specify the customer. Both parties had an existing relationship with an “established client.” Since discovering on October 11 that its specially made chips had been supplied to Huawei, TSMC has activated its export control procedures and suspended supplies to that client.

TechInsights, a Canadian tech research firm, recently revealed that they dismantled Huawei’s Ascend 910B processor and found it used TSMC’s 7-nanometer chip, which may violate U.S. export restrictions. The Ascend 910B is considered one of the most advanced AI chips in China, used by multiple Chinese firms to train large language models. Some Chinese companies have claimed that its capabilities are comparable to Nvidia’s A100.

In 2022, the U.S. restricted exports of advanced AI chips to China, citing concerns over China’s military capabilities. Huawei has been a primary target of these export controls, and in May 2019, it was added to the export ban list, which prohibits it from obtaining advanced chips containing U.S. technology. The ban initially included a grace period.

Reuters previously reported that Chinese entities have been circumventing U.S. export restrictions and attempting to use cloud services from companies like Amazon to access advanced U.S. chips and AI technology.