The US ban on Huawei has affected European chip factories

The United States announced new restrictions on Huawei’s suppliers last week. Although European chip manufacturers that use Huawei as a major customer are not very dependent on US technology, their business may still be affected.

Most of the parts produced by European chipmakers such as STMicroelectronics and AMS AG are ultimately used in Huawei smartphones . If other parts of these mobile phones use US technology or intellectual property rights, mobile phone production may still be affected.

The brokerage firm Liberum said in an email: ” If Huawei cannot purchase other parts for its mobile phones, then STMicroelectronics’ revenue will fall by 6% .”

Products such as 3D sensing components produced by Austria-based AMS AG do not rely on American software or technical equipment. However, JP Morgan Chase analyst Sandeep Deshpande said in a report that “if Huawei’s mobile phones cannot be shipped,” the relevant restrictions will still have an impact on AMS AG’s business.

AMS AG stated that it is assessing the impact of the latest restrictions in the United States, adding: “At this time we cannot speculate to what extent these restrictions will affect our products.”

A spokeswoman said that STMicroelectronics is “evaluating the new rules.”

Infineon, one of Europe’s largest chipmakers, said it is evaluating the latest situation and will respond accordingly. According to a person familiar with the matter, British technology company Dialog Semiconductor, which supplies power management chips for various Huawei products, is closely monitoring the situation. NXP, another European chip manufacturer, did not respond to a request for comment.

Dan Ridsdale, Global Head of TMT Industry at Edison Investment Research, said: “In the mobile phone sector, the European semiconductor industry is more susceptible to Apple’s influence than Huawei.” “The changes in Apple’s mobile phone market share total It will affect the supply of chips.”

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