Huawei and SMIC Use US Technology to Manufacture Advanced Chipsets, Bloomberg Reports – As of March 8, 2024, 3:39 AM

China's Huawei Technologies and Semiconductor Manufacturing International Corp. are using American technology to produce advanced chips in China in 2023, Bloomberg News reported, citing people familiar with the matter.

SMIC used technology from Applied Materials Inc. California-based Lam Research Corp. developed an advanced 7-nanometer chip for Huawei last year, according to a report Thursday. SMIC received the US machines before the US banned such sales to China in October 2022, he added.

The White House Commerce Department, Huawei, Applied Materials, LAM Research and SMIC did not immediately respond to Reuters' requests for comment.

The United States has taken a slow approach in denying SMIC and Huawei access to advanced American technology.

Huawei was placed on a trade restrictions list by the Trump administration in 2019 for alleged sanctions violations. SMIC was added to the same list in 2020 for its alleged ties to the Chinese military-industrial complex. Both companies have previously denied any wrongdoing.

Last month, Reuters reported that the US government targeted SMIC, cutting off its most advanced factory from further US imports after it produced the Huawei chip that powers the Mate 60 Pro.

The Biden administration has taken aggressive action in recent months to stop shipping more advanced AI chips to China. This is part of their effort to prevent Beijing from obtaining the latest American technology that could bolster its military. (Reporting by Angela Christie in Bengaluru; Editing by Rashmi Aish)