All Taiwanese companies are being urged to stop trading with Chinese telecom equipment maker ZTE. This comes just one week after the US banned American companies from selling components to ZTE for seven years, following reports that the Chinese company was illegally shipping goods to Iran.

On Friday, the CEO of Taiwan’s MediaTek said that his company had suspended doing business with ZTE after receiving a notice from the government, the Nikkei business daily reported.

David Hsu, deputy director-general and spokesman for Taiwan’s Bureau of Foreign Trade, confirmed the notice, but told the daily that the government did not actually bar Taiwanese companies from doing business with ZTE.

“What we do (asking suppliers to apply for an export permit) is for the companies’ own good, to ensure they are doing legal business with the Chinese firms,” Hsu said.