Intel

Taiwanese Companies Deny Helping Huawei Produce Chips

(Image credit: Huawei)

Three Taiwanese companies — Topco Scientific, UIS, and L&K Engineering — have been accused of assisting Huawei in developing wafer fabs in China, despite the U.S.'s sanctions . Topco and UIS denied claims that they helped Huawei, emphasizing their adherence to international regulations and Taiwanese laws, according to a report by DigiTimes . L&K Engineering has yet to comment on the matter.

Topco Scientific clarified its position by stating its dealings with PengXinWei, an affiliate of Huawei, were purely environmental — specifically, regarding wastewater treatment projects. The company emphasized that it stands against delivering semiconductor materials to the tech giant. Additionally, the company detailed its engagement in an environmental project in early 2022, noting that the mentioned Chinese entity (PengXinWei) was not on the U.S. Entity List at that time.

UIS, which specializes on construction engineering services for semiconductor producers, firmly denied any direct involvement with Huawei. It highlighted a contract its Chinese subsidiary had with Shenzhen-based SwaySure, which focused on an 'interior plant modification project.' UIS accentuated its compliance with Taiwanese regulations and policies throughout its operational history, distancing itself from any controversial engagement.

Despite the challenges posed by US sanctions — particularly those limiting access to essential chip technologies — Huawei remains undeterred. The tech giant recently introduced its new Mate 60 Pro 5G smartphones powered by in-house developed HiSilicon Kirin 9000s SoC, produced by SMIC (allegedly in violation of U.S. sanctions ). Huawei's investment branch funded over 70 Chinese semiconductor entities, spanning multiple sectors from equipment to IC design.

To genuinely impede Huawei's growth in the semiconductor industry, some market observers argue that the U.S. needs a stricter, more encompassing strategy. Suggestions have included halting equipment exports to China from prominent suppliers and supervising transactions, especially involving second-hand equipment and possible indirect dealings via Middle Eastern countries.

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Anton Shilov is a Freelance News Writer at Tom’s Hardware US. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.