# Taiwan weighs criminal penalties for AI server exports after alleged diversion

> Source: <https://runtimewire.com/article/taiwan-ai-server-export-controls-supermicro-diversion>
> Published: 2026-10-17 19:26:43+00:00

# Taiwan weighs criminal penalties for AI server exports after alleged diversion

**The proposal surfaced in June after U.S. prosecutors accused Supermicro co-founder Wally Liaw and two others of helping route about $2.5 billion in servers to China.**

        By [Ryan Merket](https://runtimewire.com/author/ryan-merket)
        · Published 

Primary source: [Tom's Hardware](https://www.tomshardware.com/tech-industry/semiconductors/taiwan-targets-illicit-ai-server-exports-to-china-with-five-year-prison-terms-strict-new-controls-follow-us-tariff-deal-and-super-micro-raid)

## Why it matters

Taiwan's proposal would give authorities an export-control charge for covered hardware, addressing alleged diversion schemes that U.S. prosecutors say used intermediaries and inspection gaps. Its reach depends on the final controlled-goods list and effective date.

Taiwan's June proposal to make unauthorized exports of advanced AI servers and chips a criminal offense followed a U.S. case alleging that Supermicro co-founder [Yih-Shyan "Wally" Liaw](https://www.justice.gov/usao-sdny/pr/three-charged-conspiring-unlawfully-divert-us-artificial-intelligence-technology-china?ref=runtimewire) helped divert restricted servers to China. The proposal would give Taiwan prosecutors a direct export-control charge for shipments of covered hardware, with penalties of up to five years in prison and a fine of up to NT$3 million.…