Trump Extends U.S Sanctions On Huawei For Another Year

Trump Extends U.S Sanctions On Huawei For Another Year”

USA president Donald Trump extended on Wednesday an executive order barring U.S. firms from buying and using Huawei telecom equipment, Reuters reported.

The US has announced new export controls aimed at limiting Chinese technology giant Huawei's access to semiconductor technology.

The tightened controls come a year after the USA moved to cut off Huawei, the world's second largest smart phone maker, from access to US-made semiconductor chips, which form the backbone of most computer and phone systems.

Sasse's comments come as the imposing new restrictions on Huawei by limiting its ability to use American technology to build its semiconductors.

A chip by Huawei's subsidiary Hi Silicon is displayed at the Huawei China Eco Partner Conference in Fuzhou Fujian province
FILE- A chip by Huawei's subsidiary Hi Silicon is displayed in Fuzhou Fujian province China

In a background briefing for reporters, the U.S. said officials would consider licence applications to do business with Huawei on a "case by case" basis.

China is readying financial countermeasures against USA companies like Apple and Qualcomm after the United States government executed the process to block Huawei's global semiconductor supply.

Officials said Huawei had been circumventing sanctions by obtaining chips and components that are produced around the world based on United States technology.

The department said it would 'narrowly and strategically target Huawei's acquisition of semiconductors that are the direct product of certain USA software and technology'.

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The White House said that the threat from such companies "continues to pose an unusual and extraordinary threat to the national security, foreign policy and economy of the United States".

Beijing appears to be specifically targeting US companies that are highly dependent on the Chinese market, including Apple, Qualcomm, Cisco and Boeing. (TSMC), which makes most of the HiSilicon Kirin chips, would be blocked from shipping chips to the Chinese company.

U.S. officials said the new rules would have a 120-day grace period. After that, any chips destined for Huawei or its affiliates would be required to have a license.

A senior administration official told Fox Business that the administration looked at the economic impact, including the number of companies and products affected, before making a change to the rules.

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