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The U.S. has directed Taiwan Semiconductor Manufacturing Company to suspend shipments of advanced chips to Chinese clients starting Monday. The Department of Commerce imposed export restrictions targeting chips of 7-nanometer or more advanced designs, essential for artificial intelligence and GPU applications. This order follows a recent discovery of TSMC chips in a Huawei AI processor, signaling potential export control violations. TSMC has halted shipments to China-based Sophgo and notified other impacted clients.

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