New Huawei restriction in limbo after Pentagon disagrees with Commerce approach

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The U.S. Commerce Department has put on hold a rule aimed at further reducing sales to China’s Huawei Technologies amid pushback from the Defense ...

The U.S. Commerce Department has put on hold a rule aimed at further reducing sales to China’s Huawei Technologies amid pushback from the Defense Department, people familiar with the matter said.25 Jan 2020 12:06AMWASHINGTON: The U.S. Commerce Department has put on hold a rule aimed at further reducing sales to China’s Huawei Technologies amid pushback from the Defense Department, people familiar with the matter said.

Commerce in May placed Huawei on a trade blacklist, citing national security concerns. That allowed the U.S. government to restrict sales of American-made goods to the company and a small number of items made abroad that contain U.S. technology. Reuters reported in November that the Commerce Department was considering broadening the rule that dictates how much American content in a foreign-made product gives the U.S. government authority to regulate sales.Under current regulations, the United States can require a license or block the export of many high-tech products shipped to China from other countries if U.S.-made components make up more than 25per cent of the value.

 

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