Taiwanese prosecutors arrested three people on May 21 for allegedly forging export documents to funnel restricted Nvidia AI chips through Japan and into China. The bust netted about 50 high-end Supermicro servers valued at more than $15 million, seized during raids across 12 locations in northern Taiwan.
How the scheme allegedly worked
The suspects reportedly used falsified export declarations and misrepresented customs filings to disguise the true destination of the shipments. The servers, built by Super Micro Computer (Supermicro) and loaded with advanced Nvidia chips covered by US export restrictions, were routed through Japan as a waypoint.
At least one shipment successfully made it through the entire chain. It traveled from Taiwan to Japan, then on to Hong Kong, and ultimately into mainland China. By the time authorities caught on, hardware had already crossed multiple borders.
The Keelung District Prosecutors Office led the investigation, coordinating the 12-location sweep that resulted in the three detentions. For Taiwan, this represents the first publicly reported enforcement action targeting AI chip diversion routes specifically.
