WASHINGTON / NEW YORK (Reuters) – The US Department of Commerce said Wednesday that Huawei Technologies Co Ltd and 70 affiliates are adding their "list of entities" – a step that prohibits telecommunication giants from buying parts and components from US companies without the approval of the US government.
FILE PHOTO: The Huawei logo is featured in its salon in Shenzhen, Guangdong Province, China, in 2019. March 29 REUTERS / Tyrone Siu / File Photo
USA. Officials told Reuters that the solution would also make it difficult or impossible for Huawei, the largest telecom equipment manufacturer in the world, to sell some products because it trusts US suppliers.
By order, which will take effect in the coming days, Huawei will have a US government license to buy American technology. Huawei did not comment.
Trade Secretary Wilbur Ross stated in a statement that President Donald Brief supported a decision that would "prevent the use of American technology by foreign entities in a way that could harm US national security or foreign policy interests."
Trump administration aggressively Lobbyed by other countries that the next generation of 5G networks would not use Huawei equipment and would only come a few days after Trump administration introduced new tariffs on Chinese goods as the war of trade increased.
The Department of Commerce said that this step began after the US Department of Justice issued a statement in January to Huawei and some entities saying the company had agreed to provide banned financial services to Iran. The Department stated that it had reasonable grounds to conclude that Huawei was engaged in "activities contrary to US national security or foreign policy interests".
Huawei reported that last month's first quarter revenue was $ 27 billion. Millions of Smartphones.
March. The Department of Commerce added ZTE Corp to a list of subjects suspected by a complex scheme to conceal US re-export to authorized countries in violation of US law.
Restrictions prevented suppliers from providing ZTE with US equipment, possibly freezing the supply chain of Huawei's competitors, but were short-lived. The US has halted restrictions on many temporary arrivals allowing the company to communicate with US suppliers until it agrees to deal with the claim last year.
August Trump signed a bill prohibiting the US government from using Huawei and ZTE equipment.
Republican Senator Ben Sasse said: "The Huawei supply chain depends on contracts with American companies," and he called on the Department of Commerce to look for "how we can effectively disrupt our opponent."
Report by David Shepardson in Washington and Karen Freifeld in New York; Chris Reese Editing