By Nermeen Nabil Khear 
As the global artificial intelligence (AI) race presses on amid a US-China trade war, the Taiwan Semiconductor Manufacturing Company (TSMC)—a $514 billion titan that manufactures most of the world’s AI chips—is warning that it may not be possible to keep its customers’ most advanced technology out of China’s hands.
US export controls require chipmakers to monitor shipments and know their customers to restrict China’s access to AI chips. But in a recently published 2024 report, TSMC confirmed that its “role in the semiconductor supply chain inherently limits its visibility and information available to it regarding the downstream use or user of final products that incorporate semiconductors manufactured by it.”
Essentially, TSMC expects that it plays too big a role in the semiconductor industry to stop all the possible unintended end-uses of the semiconductors it manufactures. Similarly, it appears impossible to track all the third parties determined to skirt sanctions. And if TSMC’s hands are truly tied, that ultimately means that the US can’t effectively stop the latest AI tech from trickling into China.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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