Samsung's $3 billion China fine for violating tech export rules

TSMC Faces $1 Billion US Fine for Doing Business with Huawei

Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest independent semiconductor foundry, is facing a $1 billion fine from the US government for allegedly violating US sanctions by doing business with Huawei.

According to a report by The Wall Street Journal, the US Department of Commerce's Bureau of Industry and Security (BIS) has launched an investigation into TSMC's dealings with Huawei, the Chinese telecommunications giant that has been the subject of intense scrutiny and sanctions in recent years.

The investigation centers around TSMC's alleged violations of the US Export Administration Regulations (EAR) and the International Emergency Economic Powers Act (IEEPA), which prohibit the export of certain goods and technologies to designated entities, including Huawei.

TSMC has been accused of providing Huawei with access to advanced semiconductor technologies, including 5G chipsets and other cutting-edge components, despite being aware of the US government's sanctions against the Chinese company.

The US government is seeking a $1 billion fine from TSMC for its alleged violations, which could have significant implications for the company's future business dealings and its ability to operate in the US market.

TSMC has denied any wrongdoing and has stated that it is fully cooperating with the US government's investigation. The company has also emphasized its commitment to complying with all applicable laws and regulations, including US export control laws.

The investigation into TSMC's dealings with Huawei is the latest development in a long-running saga that has seen the US government impose increasingly strict sanctions on the Chinese company, which has been accused of violating US intellectual property rights and posing a national security risk.

The case highlights the complex and often fraught nature of international trade and the challenges of balancing national security concerns with the need to promote economic cooperation and growth.