ALBAWABA - The Semiconductor Industry Association in Washington has warned that Huawei Technologies is covertly establishing a network of semiconductor manufacturing facilities across China.
The association attributed the creation of this secret Chinese network to the company's attempts to evade U.S. sanctions, as reported by Bloomberg News Agency.
According to the association, the Chinese tech giant entered the chip production field last year and is receiving approximately $30 billion in state funding. It further stated that Huawei has acquired at least two existing manufacturers and is in the process of constructing three additional factories.
The U.S. Department of Commerce added Huawei to its export restriction list in 2019 due to security concerns.
The company denies posing any security threat.
As per Bloomberg's report, if Huawei were to build factories under different company names, as suggested by the Semiconductor Industry Association, it could potentially bypass Washington's restrictions. This strategy might allow the company to indirectly purchase American equipment for chip production.
The United States placed Huawei on its Entity List, effectively preventing most suppliers from sending goods and technology to the company without obtaining a license.
Officials continue to tighten restrictions to prevent the company from acquiring or designing semiconductor chips that are essential for manufacturing most of its products.
