TSMC Says It Spoke With Commerce Dept. About Possible Export Control Breach

Taiwan Semiconductor Manufacturing Company recently spoke with Commerce Department about a possible export control issue involving one of its advanced chips, a company spokepserson said. TSMC "proactively communicated with the US Commerce Department regarding the matter," the person said Oct. 23. "We are not aware of TSMC being the subject of any investigation at this time."

Reuters reported earlier this week that one of the company's chips had been found in a Huawei product. Tech research firm TechInsights reportedly notified TSMC that it found the chip while taking apart Huawei's Ascend 910B, which is “viewed as the most advanced AI chip available from a Chinese company.”

TSMC is a "law-abiding company, and we are committed to complying with all applicable rules and regulations, including applicable export controls," the company's spokesperson said. They added that TSMC hasn't supplied to Huawei since mid-September of 2020.

"We maintain a robust and comprehensive export system for monitoring and ensuring compliance," the person said. "If we have any reason to believe there are potential issues, we will take prompt action to ensure compliance, including conducting investigations and proactively communicating with relevant parties including customers and regulatory authorities as necessary."

A Bureau of Industry and Security spokesperson declined to comment.

Rep. John Moolenaar, R-Mich., chair of the House Select Committee on China, said it would be a "catastrophic failure of US export control policy" if advanced TSMC chips were used to fuel Huawei's work on AI.

"AI accelerators, like the one that these chips fueled, are at the forefront of our technology race with the [Chinese Communist Party], and I fear the damage done here will have significant consequences for our national security," he said in an Oct. 23 statement. "Congress needs immediate answers from both BIS and TSMC about the scope and volume of this disaster. The U.S. government must take immediate steps to ensure this does not happen again.”