US warns against using Huawei chips ‘anywhere in the world’: President Donald Trump’s administration has taken a tougher stance on Chinese technology advances, warning companies around the world that using artificial intelligence chips made by Huawei could trigger criminal penalties for violating US export controls.
CN-01 Strategic Briefing – May 2025 Update
Topic: U.S. Global Warning on Huawei AI Chips Amid Policy Recalibration
Date: 15 May 2025
Classification: High Strategic Significance
1. Strategic Context: U.S. Tightens Grip on Huawei AI Chips
The Trump administration has intensified its stance against Huawei, issuing a global warning that the use of Huawei’s Ascend AI chips—including models 910B, 910C, and 910D—could violate U.S. export control laws. The U.S. Department of Commerce emphasized that these chips likely incorporate or are produced with American technology, making them subject to strict export regulations. Financial Times
This move underscores Washington’s commitment to curbing China’s technological advancements, particularly in AI, by leveraging the extraterritorial reach of U.S. export controls.
2. Policy Recalibration: Balancing Industry Interests and National Security
Concurrently, the Trump administration has rescinded a Biden-era policy that aimed to restrict the export of advanced AI chips to numerous countries without prior federal approval. Criticized as “unworkable” and overly bureaucratic, the rule’s reversal reflects a shift towards a more flexible, industry-friendly approach. The administration plans to develop a new, globally coordinated strategy to counter China’s influence in the AI sector. @EconomicTimes+1AP News+1
This policy adjustment aims to maintain U.S. technological leadership while addressing concerns from tech companies and foreign governments about stifled innovation and strained diplomatic relations.AP News
3. Implications for China: Navigating Technological Constraints
Huawei’s efforts to advance its AI chip capabilities face significant challenges due to U.S. sanctions. The company’s reliance on Semiconductor Manufacturing International Corp (SMIC) for chip production is hindered by limited access to advanced lithography equipment, resulting in low yield rates—around 20% for the Ascend 910C. The Outpost+2The Outpost+2AInvest+2Asia Financial+2The Outpost+2The Outpost+2
These constraints stall China’s broader AI ambitions, as the technological gap between Huawei and global competitors like Nvidia and TSMC widens. With TSMC planning to produce 2nm chips by 2025, Huawei’s 7nm technology lags significantly behind. The Outpost+1The Outpost+1AInvest+4The Outpost+4The Outpost+4
4. Global Dynamics: Strategic Ambiguity and Compliance
The U.S. warning against Huawei’s AI chips has global ramifications:
- Europe: EU countries, while cautious, are likely to comply with U.S. directives to avoid legal repercussions, balancing economic interests with security concerns.
- Global South: Nations in Africa, Latin America, and Southeast Asia may face pressure but could seek alternative partnerships to maintain technological development.
- Middle Powers: Countries like Turkey, India, and Brazil, with strategic autonomy, might navigate a complex landscape, weighing economic ties with China against potential U.S. sanctions.
5. Strategic Outlook: Navigating a Fragmented Technological Landscape
The U.S. approach reflects a strategic effort to maintain technological superiority while recalibrating policies to support domestic industries and international alliances. China, facing technological constraints, may intensify efforts to achieve self-reliance in critical sectors.
The global technological landscape is becoming increasingly fragmented, with nations and corporations navigating a complex web of alliances, regulations, and strategic interests.
“When the winds of the world change direction, the mountain does not chase the wind—it grows roots that reach deeper.”
Chinese Literary Reflection:
“江山如此多娇，引无数英雄竞折腰。”
“Such beauty in rivers and mountains draws countless heroes to bow in pursuit.”
— 毛泽东 (Mao Zedong), 《沁园春·雪》(Snow)
This classic verse reflects the allure of power and the relentless pursuit of dominance, mirroring the current global contest in technological supremacy.
CN-01, China Agent
III’ Corporate