As the President’s term comes to an end, his administration makes one last move targeting Huawei.
Huawei, a Chinese telecommunications company, has been a key focus for President Donald Trump’s administration, which has consistently raised concerns about the company’s impact on American security during the trade tensions with China. In 2019, Trump declared a national emergency over the issue, placing Huawei on an “entity list” that restricted its business dealings with US companies without stringent government oversight. Despite the administration’s impending transition, they have decided to deliver a final blow to Huawei.
According to a recent report from Reuters, the Trump administration has notified several suppliers of electronic components and materials that they will no longer be allowed to sell their products to Huawei. Companies like Intel, Kioxia, and others are facing the revocation of their licenses in the coming days. As of now, representatives from these suppliers have not released any statements regarding the decision.
Exclusive: The Trump administration notified #Huawei suppliers, including Intel, that it is revoking certain licenses to sell to the Chinese company and intends to reject dozens of other applications, sources say https://t.co/CbzBkGBRSF by @karen_freifeld @alexalper
— Reuters (@Reuters) January 18, 2021
A source from the Semiconductor Industry Association revealed that the Commerce Department has signaled its intention to reject a significant number of export license requests to Huawei and has revoked at least one previously granted license.
Companies receiving these notices will have 20 days to respond formally. Subsequently, the Commerce Department will have 45 days to communicate any policy changes, followed by an additional 45-day period for companies to appeal.
This latest action against Huawei by the US government aligns with similar measures taken by other countries globally. An example of such a move took place late last year when the UK government announced a ban on new Huawei 5G equipment purchases beyond 2020 and mandated the removal of all existing Huawei gear from their networks within the next six years.