- Commerce Department flags global use of Huawei Ascend AI chips as export control violation
- Guidance follows rescission of Biden-era AI Diffusion Rule
What happened: US issues global warning on Huawei Ascend AI chips
On May 13, 2025, the U.S. Department of Commerce issued guidance stating that the use of Huawei’s Ascend AI chips anywhere in the world violates U.S. export controls. The Bureau of Industry and Security (BIS) clarified that these chips likely incorporate U.S. technology, making them subject to U.S. export regulations. This announcement follows the rescission of the Biden-era AI Diffusion Rule, which aimed to restrict AI chip exports. The new guidance emphasizes that even foreign entities using Huawei’s AI hardware could face penalties under U.S. law. The move underscores the U.S. government’s ongoing efforts to limit China’s access to advanced semiconductor technologies.
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Why it’s important
The U.S. government’s warning against the use of Huawei’s Ascend AI chips globally has significant implications for international tech companies and supply chains. By asserting that these chips are subject to U.S. export controls due to their incorporation of American technology, the U.S. extends its regulatory reach beyond its borders. This move may compel foreign companies to reassess their use of Huawei’s AI hardware to avoid potential penalties.
Additionally, the guidance reflects the U.S.’s broader strategy to curb China’s advancements in AI and semiconductor technologies. The rescission of the AI Diffusion Rule indicates a shift towards more targeted measures, focusing on specific entities like Huawei. This development could influence global tech partnerships and the dynamics of the AI chip market.
