Donald Trump to issue order effectively blocking Huawei from US

16 May, 2019, 05:06 | Author: Emmett Rice
  • The Huawei logo is seen at a bus stop in Mexico City Mexico

Donald Trump has declared a "national emergency" which will give the United States government sweeping powers to prevent American companies doing business with foreign suppliers of telecommunications equipment including Huawei.

The order targets transactions that pose "undue risk of catastrophic effects on the security or resiliency of United States critical infrastructure or the digital economy of the United States".

The issue has taken on new urgency as USA wireless carriers rollout 5G networks.

Analysts believe the order is mainly targeting Chinese telecom giant Huawei.

Huawei denies allegations that its gear creates security vulnerabilities. Huawei is the biggest global maker of switching equipment for phone and internet companies, but it has also spent a decade fighting accusations that it facilitates Chinese spying.

FCC Chair Ajit Pai welcomed the move, pointing to threats from "certain foreign companies' equipment and services". "And we absolutely never install backdoors".

The United States federal government has become increasingly resistant to Chinese technology companies over the past year, over fears that they could be conducting surveillance on behalf of China's government.

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Allowing the participation of Huawei in Germany's 5G project would mean the U.S. won't be able to maintain the same level of cooperation with Germany's security agencies, U.S. Ambassador Richard Grenell said in March.

US officials told Reuters the decision would also make it hard if not impossible for Huawei, the largest telecommunications equipment producer in the world, to sell some products because of its reliance on usa suppliers.

The order's existence in draft form was first reported by The Washington Post last June. An administration official insisted in a conference call with reporters on Wednesday that the order wasn't aimed specifically at China.

Huawei is a private company that is not controlled by the Chinese government and would refuse to hand over information to Beijing although no such request has been made, the firm's Vice President of Western Europe said on Tuesday. Obtaining such licenses will be hard because they will have to show the transfer of items will not harm USA national security, said John Larkin, a former export control officer in Beijing for the Commerce Department.

USA officials have long suggested that the company works closely with the Chinese government to allow Chinese intelligence to use its equipment to spy on the communications of foreign countries and their citizens.

The association has about 60 members, none with more than 100,000 customers, although many are crucial partners for the nation's four major operators, providing coverage in remote locations through roaming agreements.

The indictment was unsealed a month after CFO Meng Wanzhou was arrested in Canada on a US warrant for her role in the alleged fraud. The sweeping indictments accuse the company of using extreme efforts to steal trade secrets from American businesses - including trying to take a piece of a robot from a T-Mobile lab. The US is seeking to extradite her.



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