Taiwan Imposes Export Restrictions on Huawei and SMIC, Bolstering U.S. Tech Ban

Taiwan has imposed new export restrictions on Huawei Technologies and Semiconductor Manufacturing International Corp. (SMIC), significantly impacting China’s efforts to develop its domestic chipmaking industry. The move adds 601 entities, including Chinese companies like Huawei and SMIC, to a restricted list due to national security concerns. Taiwanese firms must now obtain government approval before shipping goods to entities on this list.
This action aligns with the U.S. strategy to tighten restrictions on advanced semiconductor technology transfers to China. The U.S. Commerce Department previously placed Huawei on its entity list in 2019 and SMIC in 2020, cutting off their access to U.S. suppliers. Both administrations under Trump and Biden have urged allies to adopt similar controls to limit China’s access to cutting-edge chips produced by firms like Taiwan’s TSMC and South Korea’s Samsung.
Headquartered in Shenzhen and Shanghai, Huawei and SMIC are seen as China’s leading contenders in the global semiconductor race, with significant implications for AI development and national security. The restrictions could hinder China’s ambitions to challenge global tech leaders like Nvidia.
Taiwanese authorities are investigating four local tech firms allegedly aiding Huawei in constructing chip fabrication plants in southern China. Representatives for Huawei and SMIC did not respond to comment requests.

Published: 6/16/2025