The United States is considering limiting the use of US chip-making equipment to companies that produce for Huawei, according to WSJ. The United States is considering limiting the use of US chip-making equipment to companies that produce for Huawei, according to WSJ.
3
After renewing the Huawei veto exemption a few days ago , the Trump administration is planning a new trade restriction for China, as the Wall Street Journal exclusively reports . According... The United States is considering limiting the use of US chip-making equipment to companies that produce for Huawei, according to WSJ. 3

After renewing the Huawei veto exemption a few days ago , the Trump administration is planning a new trade restriction for China, as the Wall Street Journal exclusively reports . According to the media, this new measure would aim to “cut Chinese access to key semiconductor technology” by limiting the use of US chip-making equipment .

As far as Huawei is concerned, the WSJ states that this new measure would be accompanied by a “separate rule” that would limit US companies when supplying Huawei from its facilities abroad . It is expected that, in the first place, restrictions will be imposed on the export of chips with some type of US technology and that, later, the same will be done with chip production equipment.

From Xataka we have contacted Huawei to know the position of the company and we will update when we receive a response.

Let no one make for Huawei

Richard Yu, CEO of Huawei, holding the Kirin 990 processor.

The measure being studied by the United States aims to block the production of semiconductors in China , which are one of the country’s most imported products. They explain from WSJ that “if the United States restricted semiconductor manufacturing tools, that could harm China’s local chip industry,” since “it would be difficult for Chinese chip makers to find suitable replacements from other countries .” We are talking about machinery, production equipment, such as those developed by Applied Materials and Lam Research Corp, both American.

Simply put, companies with Huawei as a customer would have to choose between buying American equipment or keeping Huawei as a customer , which could be a severe blow to companies like TSMC, one of the largest processor manufacturers in the industry. TSMC manufactures the chips from Qualcomm, Apple or Huawei, the latter representing 10% of total revenue, according to the report.

A person familiar with the matter sums it up as follows: “They don’t want any manufacturer in the world to produce anything for Huawei, that’s the goal,” referring to the chip production plants.

The move is not being well received by all members of the Trump administration and, in fact, the president himself has not yet reviewed the idea. It is curious that they weigh this measure when, in the middle of last year, Trump said that “American companies can sell their products to Huawei” as long as they are “computers where there is no national security problem.”The United States has long accused Huawei of espionage without providing evidence

Recall that the United States has accused Huawei of implementing espionage systems on its computers , always without evidence. Huawei, for its part, has always defended itself claiming that its equipment is safe and that the accusations are unfounded. Recently, the United States renewed the exemption from the veto to Huawei, which did not hesitate to affirm that the decision “will not, in any case, have a substantial impact on Huawei’s business” and that “however, this decision does not change the fact either that Huawei continues to receive unfair treatment . “

This blockade has caused the company to have to stop collaborating with companies like Google , which, in the end, has led to some devices such as the Mate 30 and Mate 30 Pro coming onto the market without the Google application ecosystem . At the moment, the trade war between the United States and China continues and does not seem close to ending.

John Hartshorne

Senior IT engineer by the UPM of training and technical editor by profession, I have been writing in print and online media since the late 90s.