The Nikkei reported that TSMC confirmed that orders from Huawei have declined after US President Donald Trump imposed a ban on the Chinese company on national security grounds.

Huawei has also downgraded its forecast for total smartphone shipments in the second half of 2019 by “about 20 percent to 30 percent from the previous estimate, the Nikkei reported.

However Huawei said that claim was rubbish and its global production levels are normal, with no notable adjustments in either direction and “no change” to its smartphone sales target.

TSMC has said that Washington’s move to ban US companies from doing business with Huawei would have a short-term impact on the company, although it was upbeat on the outlook for this year.

The Trump administration in May added Huawei to a trade blacklist. The move put Huawei and 68 affiliates in more than two dozen countries on the Commerce Department’s so-called Entity List, a move that bans the company from buying parts and components from American firms without government approval.