The United States has banned Taiwan Semiconductor Manufacturing Co. (TSMC) from shipping advanced chips often used in artificial intelligence (AI) applications to customers in China after November 11, Reuters reports.
The US Commerce Department sent a letter to TSMC imposing export restrictions on complex chips of 7nm and larger used in AB accelerators and graphics processing units destined for China.
TSMC previously told the Commerce Department that one of its chips was found in a processor by Tech Insights, which disassembled the product and found a TSMC chip in it, a violation of export controls.
There are restrictions on Huawei targeting the US that require suppliers to obtain licenses to ship any of the company’s products or technology.
After receiving the letter, TSMC notified its customers affected by the order that it would stop shipping the chips starting Monday; the Commerce Department declined to comment.
“TSMC regularly discusses export control issues with the government and has made it clear that it will comply with domestic and international regulations,” Taiwan’s Ministry of Economic Affairs said in a statement provided to Reuters.
A TSMC spokesman also declined to comment further, saying only that TSMC is “a law-abiding company committed to complying with all applicable rules and regulations, including applicable export controls.”