Taipei says no violation of U.S. trade sanctions has been confirmed
Huawei Technologies is expanding its chip supply chain in China in response to U.S. trade sanctions. © Reuters
TAIPEI -- Taiwanese authorities will investigate four local companies over reports that they are assisting Huawei Technologies in establishing chipmaking infrastructure in China.
The move by Taiwan's Ministry of Economic Affairs follows a Bloomberg report on Tuesday identifying the four companies in question. The report said it was unclear whether the collaboration violates U.S. trade sanctions imposed on Huawei.
Economic Affairs Minister Wang Mei-hua told lawmakers on Wednesday that no violation of U.S. sanctions by the four companies have been confirmed at this stage.
"The companies offer services in wastewater and environmental protection processes, and they are not involved in critical technology," Wang said. The Economic Ministry will look into the matter more closely.
The four Taiwanese companies are helping Huawei set up a network of chip factories in southern China, Bloomberg reported. One of the companies, Topco Scientific, issued a statement acknowledging it has done business with a semiconductor manufacturer identified to be working with Huawei.
Topco said it has only cooperated on environmental protection and there have been no business transactions involving semiconductor materials or equipment.
Another Taiwanese company, United Integrated Services, confirmed to media that a Chinese subsidiary accepted a job to renovate the interior at a separate semiconductor manufacturer said to have ties with Huawei. United Integrated Services said the group complies with the laws, policies and regulations of all jurisdictions.
The U.S. government imposed export restrictions on Huawei that cut off the company from supplies of chips that use U.S. technology or equipment. Huawei has responded by beefing up its chip supply chain in China.