News Briefing
　　The models of the Mate 40 series (40, 40 Pro, 40 Pro+ and Porsche Limited Edition) mobile phones that Huawei is expected to release in September 2020 will be affected by sanctions due to chip supply difficulties. It has been rumored that the shipment of Mate 40 mobile phones will be significantly reduced, with orders to be cut by as much as 30%.

Impact analysis    
　　According to the original launch schedule, Huawei’s Mate 40 smartphone that was due to be released in September 2020 will be the first new model to be marketed after the implementation of US sanctions. Based on the history of previously released products, the Mate 40 will theoretically be listed as one of the key models for marketing in the second half of 2020, as it fares favorably against its major competitors such as Apple and Samsung. In addition to predicted peak-season sales in the second half of the year, the Mate 40 should render a rather significantly positive impact on Huawei's annual sales and market share. As determined from the market share analysis in the second quarter of 2020, Huawei has again outranked Samsung and restored their previous position of industry leadership. Nonetheless, news that stocks of the Mate 40 have been slashed indicates that the sales of Huawei products have recently begun to be affected by the US sanctions in the second half of the year, with the best case scenario being that market share is the only loss to be experienced. However, if the dispute between the United States and China remains unresolved, the worst-case scenario (and the one that currently appears plausible) for the Taiwanese PCB industry could be a gradual withdrawal from this mobile phone market.  
　　Harm suffered by Huawei will naturally exert a significant impact on the supply chain of components from mainland China. However, as Huawei actively develops high-end models, overseas customers and foreign supply chains are becoming proportionally more important, as they have been for many Taiwanese manufacturers in recent years. To leading manufacturers, since there is relatively high degree of customer dispersion, the fluctuations of increases and declines among individual customers will not create much impact in terms of technological advantage. Many of the links in the existing supply chains remain caught off-guard, because political interference has been urgent and violent for most of the suppliers. Although it is likely that the overall output value of Taiwan's PCB industry will not be directly affected by a reshuffling of peripheral, upstream or downstream supply chains, the growth or decline amongst them will most likely be altered, presenting negative outcomes for some, while improving the fortunes of others. Regarding the current competitive scenario, Apple and Samsung will most likely benefit from overseas markets, while brands such as Xiaomi, OPPO, and VIVO will take advantage of the trends in mainland China to benefit from a greater market share there. These dynamics will most probably be directly reflected in the performance of individual manufacturers in the next six months.