Taiwan Semiconductor Manufacturing Company believes it’s well-insulated from any disruption in the supply of raw materials due to the war in Ukraine, CEO C.C. Wei said on a Q1 earnings call April 14. TSMC, the world’s largest wafer foundry, “operates a well-established enterprise risk management system to identify and access all relevant risk and proactively implement risk mitigation strategies,” he said. “In terms of material supply, TSMC’s strategy is to continuously develop multi-source supply solutions to build a well-diversified global supplier base and to improve the local supply chain.” For specialty chemicals and gases, including neon -- available in large volumes from Ukraine before the Russian invasion -- “we source from multiple suppliers in different regions, and we have prepared a certain level of inventory stock on hand,” Wei said. “We are also working closely with our suppliers to further strengthen the resilience and the sustainability of our supply chain. Thus, we do not expect any impact on our operations from materials supply.”
The Bureau of Industry and Security needs to “answer to Congress immediately” if U.S. software company Synopsys was able to illegally export semiconductor design software to blacklisted Chinese companies, Rep. Michael McCaul, R-Texas, said. McCaul -- referencing a report this week that said BIS is investigating Synopsys for potentially transferring technology to China’s HiSilicon and Semiconductor Manufacturing International Corporation (see 2204140057) -- said the agency needs to do a better job of preventing illegal exports on the front end.
The Commerce Department is investigating U.S. software company Synopsys for possibly violating U.S. export controls against China, Bloomberg reported April 13. Commerce is looking into whether Synopsys, the world’s leading supplier of semiconductor design software, worked with Chinese affiliates to provide chip designs and software to Huawei Technologies’ HiSilicon unit for manufacture at Semiconductor Manufacturing International Corporation, the report said. Both companies are subject to Entity List licensing restrictions.
The U.S. should make export control harmonization a priority as it pursues its Indo-Pacific Economic Framework, ensuring that any restrictions are aligned with member countries and not unfairly hampering American companies, U.S. trade groups told the Commerce Department in comments released this week (see 2203140018). The U.S. could even use the IPEF to create a new multilateral export control regime, some groups said, which could specifically focus on semiconductor equipment or other advanced technologies.
Some U.S. export control policies are hindering the American semiconductor sector and chip innovation, technology companies and trade groups told the Commerce Department in recent comments (see 2201210024). Commerce can take steps to ease compliance challenges, including around deemed export controls, and make sure to propose narrow and multilateral emerging and foundational technology controls, the commenters said.
The EU officially adopted its fifth round of sanctions on Russia over its invasion of Ukraine, banning the import or transfer of Russian coal and other solid fossil fuels. The EU ramped up pressure on Russia following atrocities committed in the Ukrainian city of Bucha, the European Council said April 8.
U.S. Agriculture Secretary Tom Vilsack and his Mexican counterpart said they have a plan to finalize "expanded access to the entire Mexican market no later than May 15 for all U.S. table stock and chipping potatoes according to the agreed workplan."
Paul Rosen, President Joe Biden's nominee to head the Treasury Department’s foreign investment screening efforts (see 2203090015), said he will continue to prioritize U.S. reviews of China-related transactions and wants to better encourage companies to submit voluntary filings. If confirmed, Rosen also said, he will focus on helping allies bolster their own investment screening regimes.
The Bureau of Industry and Security is seeking public comments to help inform the U.S.-EU Trade and Technology Council's Secure Supply Chains Working Group. BIS said it’s specifically seeking feedback on how to “advance supply chain resilience and security in key sectors,” including semiconductors, solar photovoltaics, critical minerals and materials and pharmaceuticals. The agency is “particularly interested” in comments from foreign and domestic entities that “actively participate” in supply chains involving semiconductors, solar photovoltaics, critical minerals and pharmaceuticals. Comments are due May 23.
European Commission President Ursula von der Leyen announced in an April 5 speech in Strasbourg the scope of the EU's fifth round of sanctions on Russia following its invasion of Ukraine, according to prepared remarks. The sanctions consist of "six pillars" along with a host of restrictions on individuals close to the Russian regime.