Headline: TSMC Chip Found in Huawei Device Sparks Concerns

The Chairman of the U.S. House of Representatives China Committee requested an explanation from the Department of Commerce and Taiwan Semiconductor Manufacturing Company (TSMC) after a chip manufactured by TSMC was found in a Huawei device. Representative John Moolenaar expressed concerns on Wednesday that this situation could have serious implications for U.S. export control policy.

Moolenaar described this finding as a "catastrophic failure" of U.S. policy in a stern statement, emphasizing the need for immediate answers on how a chip from the leading Taiwanese semiconductor company TSMC ended up in equipment produced by the Chinese company Huawei. The concern arises from Huawei being scrutinized by the U.S. government for security reasons and the strict regulations in place to control the export of advanced technology to such entities.

Moolenaar's demand highlights a potential oversight in the enforcement of export controls designed to prevent American technology from being used by certain foreign firms, particularly those on the U.S. trade blacklist. Huawei was added to the U.S. Entity List in 2019, which restricted the company from acquiring certain technologies from U.S. firms without government approval.

This issue has led the China Committee to ask the Department of Commerce and TSMC for detailed information on the scope and specifics of the chips allegedly supplied to Huawei. The outcome of this investigation could have significant repercussions for TSMC, one of the world's largest semiconductor manufacturers and a crucial supplier to many U.S. technology companies.

This discovery raised questions about the effectiveness of U.S. export controls and the challenge of monitoring complex global supply chains in the technology sector. Neither the Commerce Department nor TSMC has publicly responded to the representative's request for information.