Trump extends export restrictions on Huawei

President Trump extended for 1 year the national emergency declared in May 2019 (Executive Order 13873) with respect to securing the information and communications technology and services supply chain.

The White House statement reads: “The unrestricted acquisition or use in the United States of information and communications technology or services designed, developed, manufactured, or supplied by persons owned by, controlled by, or subject to the jurisdiction or direction of foreign adversaries augments the ability of these foreign adversaries to create and exploit vulnerabilities in information and communications technology or services, with potentially catastrophic effects. This threat continues to pose an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States.”

Department of Commerce extends export license to Huawei

The U.S. Department of Commerce has extended export licenses to Huawei Technologies Co. Ltd. and its non-United States affiliates (Huawei) for U.S. suppliers through May 15, 2020.

At the same time, the Bureau of Industry and Security (BIS) announced it is seeking public comments on the continuing need for, and scope of, possible future extensions of the Temporary General License (TGL) for Huawei. The Department notes that its initial TGL from May 2019 and the three extensions that followed were intended to allow time for companies and persons to shift to alternative sources of equipment, software, and technology (e.g. those not produced by Huawei or one of its listed affiliates).

U.S. Dept of Commerce: Huawei restrictions

Wilbur Ross, U.S. Secretary of Commerce, announced that restrictions on the export of U.S. technology to Huawei begin on Friday.

Earlier, the Bureau of Industry and Security (BIS) of the U.S. Department of Commerce, confirmed that Huawei and its affiliates have been added to the Bureau’s Entity List. The reason given is that “Huawei is engaged in activities that are contrary to U.S. national security or foreign policy interest.”

For companies on the Entity List, a license must be issued by BIS for the sale or transfer of U.S. technology. A license may be denied if the sale or transfer would harm U.S. national security or foreign policy interests.

“This action by the Commerce Department’s Bureau of Industry and Security, with the support of the President of the United States, places Huawei, a Chinese owned company that is the largest telecommunications equipment producer in the world, on the Entity List. This will prevent American technology from being used by foreign owned entities in ways that potentially undermine U.S. national security or foreign policy interests,” said Secretary of Commerce Wilbur Ross. “President Trump has directed the Commerce Department to be vigilant in its protection of national security activities. Since the beginning of the Administration, the Department has added 190 persons or organizations to the Entity List, as well as instituted five investigations of the effect of imports on national security under Section 232 of the Trade Act of 1962.”