Huawei and SMIC have now officially landed on TSMC’s export control list, adding another major hurdle for the Chinese tech giants. 
From now on, these companies will need special government-issued permits to receive any goods from their overseas suppliers.
This decision, confirmed by an update to Taiwan’s Ministry of Economic Affairs website, cites ‘national security’ and ‘arms proliferation prevention’ as the main reasons. The list now includes 601 entities, among them firms from Russia, Iran, Pakistan, and Myanmar.
With global scrutiny increasing, companies like Huawei and SMIC may have no choice but to ramp up efforts toward chip-making self-sufficiency. However, that’s easier said than done. Developing cutting-edge chip tech takes years of R&D, massive investment, and rare manufacturing precision-something only a few companies globally have mastered.
TSMC, the world’s top semiconductor manufacturer, had already ceased shipments to Huawei back in September 2020. However, earlier reports in 2024 suggested that Huawei was still sourcing high-performance AI chips like the Ascend 910C from TSMC, raising eyebrows over enforcement gaps in export controls.
The tension escalated further when TSMC was hit with a $1 billion fine after its chips were discovered inside Huawei’s Ascend 910B. In response, the company is tightening compliance protocols and re-evaluating every client interaction to avoid future violations.
Meanwhile, China isn’t sitting idle. Reports indicate that homegrown EUV (Extreme Ultraviolet Lithography) machines are scheduled to enter trial production by Q3 2025. Also in the spotlight is Huawei’s local partner SiCarrier, reportedly developing lithography equipment to rival Dutch juggernaut ASML.
It’s clear that the global chip war is far from over, and the next few years will determine whether Chinese firms can truly achieve independence in advanced semiconductor manufacturing.