The U.S. Commerce Department will expand restrictions aimed at preventing Huawei from obtaining semiconductors without a special license including chips made by foreign firms that have been developed or produced with U.S. software or technology
The U.S. Commerce Department actions, first reported by Reuters, will expand restrictions announced in May aimed at preventing the Chinese telecommunications giant from obtaining semiconductors without a special license - including chips made by foreign firms that have been developed or produced with U.S. software or technology.
Secretary of State Mike Pompeo said the rule change “will prevent Huawei from circumventing U.S. law through alternative chip production and provision of off-the-shelf chips.” He added in a statement “Huawei has continuously tried to evade” U.S. restrictions imposed in May.With U.S.-China relations at their worst in decades, Washington is pushing governments around to world to squeeze Huawei out, arguing it would hand over data to the Chinese government for spying.
A new separate rule requires companies on the economic blacklist to obtain a license when a company like Huawei on the list acts “as a purchaser, intermediate consignee, ultimate consignee, or end user.” Existing U.S. restrictions have already had a heavy impact on Huawei and its suppliers. The May restrictions do not fully go into effect until Sept. 14.
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