TSMC to Continue Making Chips for Huawei: Report

Taiwan Semiconductor Manufacturing Company (TSMC) - the world's largest contract chipset maker - has said it would continue delivering critical semiconductors to Huawei Technologies even as chip designer ARM has cut ties with the tech giant.

"TSMC said at a technology symposium that while intellectual property and materials used for semiconductor development would be subject to US restrictions on sales to Huawei, chipmaking equipment would not fall under the new rules.

"As a result, the chips would not breach rules requiring a license for sales to the Chinese company of products containing 25 per cent or more US technology," the Nikkei Asian Review reported late on Thursday.

Japanese multinational conglomerate Toshiba reportedly said it has resumed all shipments of electronic parts to Huawei.

However, it did not clearly mention what products it supplies to the Chinese company.

"The list likely includes large-scale integration chips used to process large amounts of data at once.

"The company had previously suspended certain shipments, but has now concluded that they do not violate restrictions imposed by the US," the report added.

Other firms that will continue shipping products that do not violate US restrictions to Huawei include Panasonic and Chinese computer maker Lenovo Group.

On May 15, US President Donald Trump effectively banned Huawei with a national security order.

The US publicly asked its allies to steer clear of using Huawei products over concerns that the equipment could be used by the Chinese government to obtain private information.

Following the trade clampdown, tech majors including Google, Microsoft, Intel, and Qualcomm put restrictions on businesses with Huawei.