Huawei’s AI Chips Spark Fresh Tensions Between China and U.S

On Thursday, China hit back at the U.S., accusing it of “abusing export control measures” and urging Washington to fix its approach after the U.S. issued a warning to companies not to use Huawei’s Ascend AI chips.

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He Yongqian, a spokesperson for China’s Ministry of Commerce, said the guidance could destabilize global semiconductor supply chains and stressed that China would take action to protect the rights and interests of its businesses.

Earlier this week, the U.S. Commerce Department’s Bureau of Industry and Security issued a warning, stating that using Huawei’s Ascend AI chips could lead to violations of U.S. export controls. These chips, Huawei’s most advanced semiconductors, compete directly with those of Nvidia for a share of the Chinese market.