Taiwan's government has opened an investigation into four companies named in a media report as conducting business with firms linked to U.S.-sanctioned Huawei (HWT.UL) in China, and is considering tighter rules on key technologies.
Taiwan Economy Minister Wang Mei-hua said the ministry would be looking into whether the firms' activities in China "matched up" with their initial investment approval from the island's government.Wang did not give details on what rules the companies might have broken. She said earlier this week they had been engaged in low-end work like handling waste water.
A Bloomberg news report this week said the firms had been working with Huawei-connected firms to build infrastructure for chip plants. Huawei did not immediately respond to a request for comment. China is in the middle of its long National Day holiday. Wang also said Taiwan's government will soon unveil tighter rules on "key technologies", taking into account international practice, she added, without giving details.
The Chinese telecommunications giant has, for the last four years, been barred from obtaining components and technology from U.S. firms without approval., have operations in China, Taiwan's government bans production of the most sensitive technology in the country and keeps a close watch on all its companies' tech investment there.
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