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Tuesday, November 5, 2024

Moolenaar and Krishnamoorthi urge action against Huawei's chip facilities

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Congressman John Moolenaar Chairman of the Select Committee on the CCP | Facebook

Congressman John Moolenaar Chairman of the Select Committee on the CCP | Facebook

Chairman John Moolenaar and Ranking Member Raja Krishnamoorthi of the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party have called for continued action against Huawei. In a letter to Commerce Secretary Gina Raimondo, they urged further restrictions on U.S.-produced semiconductor manufacturing equipment (SME) to prevent Huawei from expanding its clandestine chip network.

The lawmakers stated, "You have long been a leader in raising alarm about the threat posed by Huawei’s chip capacity... Just as you have taken steps to prohibit Huawei from purchasing U.S. chips, it is similarly important and logical to restrict the flow of SME to prevent Huawei from fabricating its own chips."

They revealed that Huawei has been circumventing existing restrictions through firms like Pengxinxu, SwaySure Technology, Qingdao SiEn, among others. These companies are not currently listed on the Department of Commerce’s Entity List.

Previously, PXW Semiconductor was added to this list. The lawmakers now suggest adding its sister companies due to their connections with Huawei. They argue that these firms present similar risks due to their links with Shenzhen State-owned entities and former Huawei executives.

The letter also emphasized that restricting SME flow would signal U.S. commitment to preventing technology misuse by Huawei. "Restricting the flow of SME to Huawei’s clandestine network of semiconductor companies will send an important signal," they noted.

The lawmakers stressed urgency in addressing these issues, warning that delays could allow Huawei to continue stockpiling necessary SME for its supply chains.

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