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List of Backers Grows As Huawei Allies Defy US Ban

The world’s largest chipmaker, Taiwan Semiconductor Manufacturing Company, is defying the US ban on Huawei and plans to continue making chips for the Chinese telecommunications giant.

TSMC has made the decision as other companies in the global semiconductor ecosystem such as Intel, Qualcomm and ARM comply with the US ban to supply Huawei.

The Taiwan outfit said that after careful consideration it will maintain its shipments to Huawei’s chip arm HiSilicon throughout this year, claiming that any impact to one client could result in gains for another.

The problem for Huawei, as market observers see it,  is that other companies could react by halting components and software to TSMC.

The ban potentially threatens the future of the world’s largest provider of telecommunications networking equipment and the second-ranked smartphone maker.

TSMC said it doesn’t need to stop exports to Huawei as it does not have more than 25 per cent US-origin technology in its manufacturing process.

Japanese tech conglomerate Toshiba says it will also continue to ship parts to Huawei, while Panasonic has denied reports it has stopped supplies.

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