July 2 (Reuters) - Alpha and Omega Semiconductor ( AOSL )

has agreed to pay $4.25 million to settle with the U.S.

Department of Commerce for shipping items to China's Huawei

Technologies in violation of export regulations, according to a

department order posted on Wednesday.

AOS engaged in prohibited conduct by forwarding 1,650 power

controllers, smart power stages and related accessories to

Huawei without authorization in 2019, the year Huawei was added

to a restricted U.S. trade list, the order said.

Though the items were foreign-designed and produced, the

order said, they were subject to export control regulations

because AOS exported them from the United States. Suppliers to

companies on the restricted trade list, known as the Entity

List, are required to obtain licenses.

"This resolution does not impact AOS's ongoing business

operations and brings to an end the U.S. government's

five-year-plus investigation," the company said. "AOS is pleased

to bring this matter to a close with only limited administrative

export control charges."

U.S. authorities have been investigating AOS' transactions

with Huawei since 2019, the company said in an SEC filing

earlier this year. In January 2024 the Justice Department closed

its investigation without charges, the filing said, but a civil

investigation by the Commerce Department was ongoing.

On April 16, 2025, AOS said it received a letter from

Commerce alleging violations of export control regulations, and

the company met to discuss a possible resolution.

AOS, which is headquartered in Sunnyvale, California,

operates in both the United States and Asia. It has a wafer

fabrication facility in Hillsboro, Oregon.

In 2020, the United States added to Huawei's Entity listing

to expand its authority to stop shipments of foreign-produced

items to Huawei.