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US ban on Huawei has caused tension in the supply chain of electronic components

SemiMediaEdit
May 22, 2019

Recently, the US ban on Huawei has caused tensions in the supply chain. Among them, Taiwan's supply chain will be affected. Some insiders said that the most affected Huawei suppliers will shrink by 30% this year.

On May 21, in order to prevent stock price from being affected by irrational factors, Taiwan's electronic component manufacturers have issued clarifications, including microwave component manufacturer Universal Microwave Technology, Inc. (UMT). Previously, there were media reports that sales to Huawei accounted for 21% of UMT's total revenue.

UMT emphasizes that its products are designed and developed by themselves, not subject to other companies, and do not use any related technology in the United States. The technical aspects are independent, so there is no restriction on the supply of customers. In addition, the products shipped to Huawei are used in microwave communication equipment in communication equipment, not in base stations in mobile phones or communication equipment.

UMT said that in 2012, the United States has banned the use of microwave communication equipment produced by Huawei. In such microwave communication products, the ban is only a continuation of the past ban, not new restrictions, so there will be no additional impact. In addition, Huawei's share of UMT's revenue is only 11.68%, far below the 21% reported by the media.

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electronic component distribution electronic components news Electronic components supply chain US ban on Huawei
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