Taiwan prosecutors raid Nvidia PCB supplier Unimicron over origin fraud

Taiwan's Taoyuan District Prosecutors Office raided Unimicron on Friday, alleging the printed-circuit-board maker shipped products manufactured in China back to Taiwan and relabeled them as Taiwan-made. Investigators searched the company's headquarters in Guishan District and a plant in Zhongli District, and took in 14 executives and employees for questioning.

A PCB department general manager surnamed Wang was released on NT$15 million (US$474,263) bail; a deputy general manager surnamed Wu posted NT$12 million; three other executives paid between NT$300,000 and NT$5 million, and nine defendants were released without bail. Prosecutors cited Criminal Code provisions covering forged private documents and false product markings, and said the office would "further expand its investigation to clarify the full scope of the case."

Unimicron spokesperson Chung Ming-feng said the company is "fully cooperating with the investigation regarding disputes over product origins." Shares fell 5.93% to NT$1,110 on the day of the raid, according to Focus Taiwan. The company is a leading supplier of ABF substrates used in advanced semiconductor packaging for high-performance computing, AI and smartphone chips, and counts Nvidia and Intel among its named customers.

If the case involves China-made goods transshipped through Taiwan to alter country of origin before export to the U.S., American clients could reallocate orders. Kinsus Interconnect Technology and Nan Ya PCB, both with ABF substrate exposure, have been flagged as potential beneficiaries. The probe surfaces amid tightening US scrutiny of AI-chip supply chains; Washington circulated a draft Commerce rule targeting China's remote AI-chip access two days later, one of 338 China AI stories we've tracked in the last 90 days.