US-China trade war to cause inventory glut at TSMC?

EE Times offer some dire speculation about the consequences of the US-China trade war for Taiwanese foundry TSMC. While the firm remains optimistic, some analysts believe that if the situation isn't resolved, it could result in excess inventory. Furthermore, there's some fear for a lot of challenges for the global supply chain. In particular, there's worry that this could become broader than something that's isolated to Huawei.

Yet analysts worry that excess inventory in the supply chain and the potential loss of sales to HiSilicon, TSMC’s second-largest customer, will impact the foundry and other electronics companies later this year.

“I don’t see any winners from this scenario,” says Brett Simpson, senior analyst with UK-based Arete Research. “It’s going to be a very challenging 12 months or so for the world’s supply chain. A lot of businesses that buy semiconductors are worried about business continuity.”