US moves to cut off Huawei from overseas chip manufacturers

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Illustration by Alex Castro / The Verge

The US Commerce Department has taken another step toward cutting off Chinese telco Huawei from the overseas companies that make its semiconductors. An amended export rule would block shipments of semiconductors to Huawei to “strategically target Huawei’s acquisition of semiconductors that are the direct product of certain US software and technology,” the agency announced on Friday.

The rule prevents foreign manufacturers of semiconductors who use American software and technology in their operations from shipping their products to Huawei unless they get a license from the US. That license requirement could allow the Commerce Department to block the sale of semiconductors made by Taiwan Semiconductor Manufacturing Co. (TSMC) for Huawei’s…

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