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Taiwan will help US blacklist Chinese tech

by on14 April 2021


It is what Chiang Kai-shek would have wanted


Taiwan promised its chip companies will adhere to US rules after Washington added seven Chinese supercomputing entities last week to an economic blacklist and after a Taipei-based chipmaker halted orders from one of the entities named.

The US Commerce Department said the seven Chinese entities were "involved with building supercomputers used by China's military actors, its destabilising military modernisation efforts, or weapons of mass destruction programs".

Companies or others listed on the US Entity List are required to apply for licences from the Commerce Department that face strict scrutiny when seeking permission to receive items from US suppliers.

Tech-powerhouse Taiwan's firms are major suppliers of semiconductors globally, and Economy Minister Wang Mei-hua said they would follow Taiwanese and US rules.

"Our companies, whether producers or exporters, must accord with our country's rules. Of course the United States has new rules, and our companies will pay attention and accord with the key criteria of the US rules", she told reporters.

Taiwan's Alchip Technologies Ltd said it had stopped production for all products related to Tianjin Phytium Information Technology, which is on the new US list.

Alchip, which said 39 percent of its revenue last year came from Phytium, added that it was collecting "detailed documents for our US counsel to determine if the products are subject to EAR (Export Administration Regulations)".

A US Bureau of Industry and Security "permit will be obtained for Phytium's products if necessary", it added.

The South China Morning Post reported that TSMC has suspended new orders from Phytium.

 

Last modified on 14 April 2021
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