Huawei Temporary General License Gives US Chipmakers 'Almost No Relief,' SIA CEO Says

The U.S. temporary general license after it added Huawei to its entity list was “almost no relief” for America's semiconductor industry, which has been hurt severely by the move, said Semiconductor Industry Association CEO John Neuffer. At a Washington International Trade Association discussion last week, Neuffer underscored the importance of the Chinese market to U.S. semiconductor exporters and said the Trump administration should more tactfully negotiate with China. “We would like the U.S. government to better balance its national security concerns with its economic security concerns,” Neuffer said. He said there's an inaccurate perception chipmakers were aided by the Commerce Department Bureau of Industry and Security's temporary move (see 1905290036). “It leaves a major hole for us,” Neuffer said, noting Huawei is one of the “world’s biggest” telecom gear and cellphone providers. “There’s basically no reprieve.” If China’s expected June 1 tariff increase affects U.S. consumer goods including computers and cellphones, which had previously been kept off the tariff lists, Neuffer said his industry will suffer significant losses, partly because China is a large portion of that industry's export market. “Because they are our customers,” Neuffer said, “we will get hit and so will the American consumer.” Neuffer said any U.S.-China decoupling is a “folly,” and the Trump administration’s desire to bring all U.S. supply chains back to the U.S. is “not realistic.” The White House didn't comment Friday.