Taiwanese prosecutors on Monday charged nine people in connection with the illegal export of advanced AI servers to China, marking the island first criminal prosecution targeting AI chip export control violations. The indictment included former employees of Nvidia and Super Micro Computer, two companies at the centre of global AI hardware supply chains.

The Keelung District Prosecutors Office executed search warrants across twelve locations in May, detaining three suspects in what was described as Taiwan first AI server smuggling case. The suspects were charged with crimes including breach of trust, document forgery, and violations of Taiwan export control laws.

According to court documents, the suspects facilitated the shipment of dozens of high-end AI servers — equipped with Nvidia chips subject to US export restrictions — through intermediaries to buyers in mainland China. The scheme involved falsifying end-user certificates and redirecting shipments through third countries.

The case comes amid heightened global scrutiny of AI chip supply chains. The United States has imposed sweeping export controls on advanced AI chips to China, and Taiwan — which produces the majority of the world most advanced semiconductors — has been under increasing pressure to enforce similar restrictions. Taiwan new president has pledged stricter enforcement of technology export controls as a national security priority.