Taiwan Semiconductor Manufacturing Co has suspended shipments to a customer after it discovered that one of its chips supplied to the client ended up in a Huawei product, according to a Taiwan official familiar with the situation.

Taiwan Semiconductor Manufacturing Co. (TSMC) recently made a significant discovery that has caused concern for both Taiwan and the United States. TSMC Finds Its Chip in Huawei Device The company, known as the world’s largest contract chipmaker,

Taiwanese chipmaking giant TSMC halted shipments to a customer this month after its semiconductors were sent to China's Huawei, a Taipei government official told AFP, potentially breaching US sanctions.