Huawei to produce no more than 200,000 advanced AI chips in 2025

Published 12/06/2025, 20:02
© Reuters.

Investing.com -- China’s Huawei Technologies will be able to produce no more than 200,000 advanced artificial intelligence chips in 2025, according to a top U.S. export controls official who spoke to lawmakers on Thursday.

Jeffrey Kessler, Under Secretary of Commerce for Industry and Security at the Commerce Department, told a congressional hearing that the production capacity for Huawei’s Ascend chips remains below the company’s demand. He projected that "most or all" of these chips will be delivered to companies within China.

Despite this limited production capacity, Kessler warned against complacency. "China is investing huge amounts to increase its AI chip production, as well as the capabilities of the chips that it produces. So, it’s critical for us not to have a false sense of security, to understand that China is catching up quickly," he told the House of Representatives Foreign Affairs South and Central Asia subcommittee.

Since 2019, the U.S. has implemented export controls aimed at limiting Chinese firms’ access to high-end U.S. chips and equipment needed to produce them. These restrictions have become a point of tension in U.S.-China relations.

In response to these limitations, Huawei has been developing its Ascend 910C AI chips as an alternative to those made by NVIDIA (NASDAQ:NVDA), which currently leads the global market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.