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Huawei with new chip rules



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Washington continues to increase the pressure on Huawei . The task now is to keep chips with American technology out of smartphones from the Chinese company. In addition, the grace period for US cellular operators with Huawei equipment expires.The US government is tightening the sanctions against Huawei in order to cut the Chinese group’s access to any chips from international production. With the regulation announced on Monday, chips that were designed with the help of American software or manufactured with American technology may no longer be delivered to Huawei. This also affects products from European semiconductor companies such as NXP or ST-Microelectronics, as a senior US government official emphasized.

When the sanctions were tightened beforehand in May, the regulation initially only applied to chips developed by Huawei that the group orders from manufacturers. Now the ban has also been extended to the chip companies’ own products. Huawei itself develops main processors for its smartphones as well as modem chips for the connection to the cellular network. However, the phones also contain a variety of other semiconductors such as various sensors or NFC radio chips from NXP. Machines and software from the USA are used across the board in the industry.The sanctions, which were introduced in May 2019 and have been gradually tightened, provide that American companies may only maintain business relationships with Huawei with special permission from the US government. The US government official made no information on Monday, with reference to legal requirements, whether any companies had already been granted such a permit.