Taiwan probes firms suspected of selling chip equipment to China's Huawei despite US sanctions

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Taiwan probes firms suspected of selling chip equipment to China's Huawei despite US sanctions
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Taiwan's economy minister has confirmed that regulators are investigating four Taiwanese companies suspected of helping China’s Huawei Technologies to build semiconductor facilities. The Ministry of Economic Affairs has summoned the semiconductor and factory services suppliers for questioning after a Bloomberg report. The report said the companies allegedly were working with Huawei as it builds a network of semiconductor plants, despite U.S. sanctions prohibiting such business. The companies provide cleanrooms and other services that are crucial for making computer chips. Minister of Economic Affairs Wang Mei-hua said Friday that the investigation will determine if the companies have violated regulations. They could be fined up to 25 million Taiwan dollars ($777,665).

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The Ministry of Economic Affairs summoned the semiconductor and factory services suppliers for questioning after a report by Bloomberg said they were working with Huawei as it builds a network of computer chip plants. They said semiconductor material reseller Topco Scientific Co.; cleanroom constructor L&K Engineering Co.; construction and design firm United Integrated Services Co. and chemical supply system provider Cica-Huntek Chemical Technology Taiwan Co. were suspected of supplying equipment or services to Huawei.Cleanrooms and other high-tech equipment and services are crucial for the delicate process of making computer chips.

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