Taiwan Semiconductor Manufacturing Company, the world’s largest contract manufacturer of smartphone chipsets, has said that the on-going US-China trade war where both countries are trying to deleverage each other, will drive up costs and limit flow of ideas.
Mark Liu, Chairman of TSMC, said that over the last four decades the industry had benefited from the free global flow of information. He added that “in the future the climate may change. The information flow may not be that free. Tariffs may be erected. So we have to prepare for that.”
EDITOR’S PICK: Royole FlexPai 2 vs Samsung Galaxy Z Fold 2 vs Huawei Mate Xs: Specs Comparison
After putting Huawei on Entity List last year, the Trump administration has been imposing new sanctions on the company. In the latest sanction, the United States has banned the supply of important components to Huawei and other Chinese firms citing national security.
On the other hand, China is trying to nurture companies to take on the established player in the business. The country is also working on being self-reliant from U.S. suppliers and be independent enough to not get affected by the United States.
TSMC was forced to stop taking new orders from Huawei for its Kirin chipsets because of the new sanctions imposed on the Chinese giant. The Taiwanese company had stopped taking new orders of Huawei from May and has stopped shipping them from this month.
UP NEXT: LG K62 and LG K52 smartphones unveiled packing 6.6 inches display panels and 48MP quad cameras
