Mubasher: President Donald Trump signed an executive order, declaring a national emergency over threats against US technology, CNBC reported.
The order authorises US Commerce Secretary Wilbur Ross, in consultation with other officials, to ban transactions that involve any information or communications technology that “poses an unacceptable risk to the national security” of the US.
The order targets the technology that is "designed, developed, manufactured, or supplied, by persons owned by, controlled by, or subject to the jurisdiction or direction of a foreign adversary.”
President Trump supported the decision, as it will “prevent American technology from being used by foreign owned entities in ways that potentially undermine US national security or foreign policy interests,” a statement by Secretary Ross was quoted by CNBC.
After the order was announced, the Commerce Department announced including Huawei and its affiliates to the Bureau of Industry and Security (BIS) Entity List, toughening furthermore the conditions for the firm to carry out business with US companies.
Such a move means that the US firms cannot sell or supply technology to Huawei, which relies on some American providers for components, without a BIS licence.
While the order does not name any companies or countries in particular, its issuance came after an escalation of enforcement moves against Chinese telecoms giant Huawei that lasted for months.
Huawei has been under intensified scrutiny from US regulators for its alleged ties to the Chinese Communist Party, amid claims that its equipment could be used for espionage purposes.
The White House has been pushing allies worldwide to rule out adopting Huawei’s next-generation fifth generation (5G) network technology.