U.S. ban on selling to Huawei takes effect Tuesday
  • 4 years ago
화웨이 오늘부터 반도체 못 산다…美 전면 제재 개시

The due date has finally come for the latest U.S. sanctions on Chinese tech giant Huawei.
The Chinese firm is set to lose..., practically all of its current global semiconductor suppliers...,
and the sanctions will shake up the tech industry across the world.
Kim Sung-min has the details.
Starting from Tuesday, Chinese tech giant Huawei will no longer be able to buy semiconductor parts from major global firms.
This comes as the sanctions put on Huawei by the U.S. Commerce Department last month comes into effect from September 15th.
Under those sanctions, non-U.S. companies are restricted from selling Huawei any semiconductor parts developed with U.S. technology.
Global chipmakers will need advance approval from the Commerce Department if they wish to do business with the Chinese firm.
This seems almost impossible given Washington's tough approach toward Beijing.
The sanctions could have an immense impact on Huawei, making it hard for the firm to acquire the parts needed for all kinds of its products, from smartphones and TVs to mobile communication base stations.
U.S. firms had already been banned from directly selling to Huawei since May last year, causing it to lose major suppliers like Qualcomm.
Huawei has stockpiled chips ahead of the latest sanctions, but industry watchers say the company might be to unable to produce new products by next year.
The sanctions could also reshape the global smartphone and semiconductor industries.
South Korea's largest chipmakers like Samsung and SK hynix are expected to take a direct hit in the short term,... considering some 11-billion U.S. dollars of South Korean semiconductor sales came solely from Huawei last year.
In the long term however, these two companies could rather benefit by taking over some of Huawei's share of the global smartphone industry.
They are also expected to see increased sales to other Chinese buyers like Xiaomi.
Kim Sung-min, Arirang News
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