The U.S. government has expanded restrictions to further limit Huawei Technologies’ access to basic components, now prohibiting the Chinese tech giant from purchasing chips made in countries other than the United States, but with the help of ‘American technology. It also added 38 other Huawei subsidiaries to the entity blacklist, including Huawei Cloud Singapore and Huawei Cloud France.
Restrictions apply immediately
The “Bureau of Industry and Security” (BIS) of the US Department of Commerce said on Monday that the latest changes were implemented immediately to “hamper” Huawei’s efforts to bypass previous export controls through some thirds.
BIS also said it requires licenses for “any transaction involving items” subject to export controls when a party on the entity blacklist is involved. For example, when Huawei is a buyer, intermediary, or end user. He adds that the temporary general license has expired.
Among the 38 Huawei subsidiaries that are now on the entity blacklist are Huawei Cloud Computing Technology, Huawei Cloud Singapore, Huawei Cloud France and Huawei Cloud Russia. The BIS explains that these entities were added to the list because they “present a high risk” of acting on behalf of Huawei and “against the interests of national security or the foreign policy of the United States. “.
Washington accuses Huawei of supporting the Chinese Communist Party
“We have reason to believe that Huawei, otherwise, would seek to use them to evade the restrictions imposed by the entity blacklist,” BIS said, adding that the new measures would prevent Huawei from obtaining developed electronic components. or produced by foreign companies using American technology.
US Secretary of Commerce Wilbur Ross said that “Huawei and its foreign affiliates have extended their efforts to obtain advanced semiconductors, developed or produced from US software and technology, in order to fulfill the political objectives of the Party. Chinese Communist … This action on multiple fronts demonstrates our continued commitment to hamper Huawei’s ability to do so.
As early as last month, visa restrictions went into effect against employees of some Chinese technology providers, in particular Huawei, accused of providing “material support to regimes that violate human rights in the country. the world “.
Huawei accuses Washington of wanting to stem foreign competition
Huawei accuses the US government of instituting export restrictive measures to stem foreign competition. The Chinese giant adds that these measures could undermine the confidence of international companies in US technology and supply chains.
The Shenzhen firm also warned that the Chinese government will likely implement countermeasures if the United States continues to impose trade sanctions on the seller of network equipment.
US government trade restrictions have prompted Huawei to increase its investment in research and development by 30%, as well as to invest in reengineering its products. This has led to the redesign of more than 1,800 boards and the rewriting of some 16 million lines of code in its software, according to the Chinese company, which added that it was looking for alternative sources for many of its materials.