Taiwan added two leading tech companies, China’s Huawei and SMIC, to the restricted list, which aligns with U.S. export control. This will lead to tension with Beijing and impact China’s goal of developing Artificial Intelligence chips.
Taiwan’s “strategic high-tech commodities entity list” was confirmed by the island’s international trade administration, meaning local firms must obtain government permission before exporting sensitive technologies, materials or equipment to Huawei, SMIC or their subsidiaries. These restrictions will delay China’s important project of developing AI semiconductors, as both firms lose access to the analytical Taiwanese plant construction technologies and semiconductor equipment.
Taiwan does not have to struggle after blacklisting Huawei and SMIC because it is home to TSMC ( Taiwan Semiconductor Manufacturing Co), the world’s largest contract chipmaker and a key supplier to companies like Nvidia. This export control update strengthens the country’s position with the US policy. Chip technology has become crucial when Washington and Beijing face off over technological command.