The Trump administration deals a new blow to Huawei, China

The Trump administration deals a new blow to Huawei, China

Notified Trump administration suppliers a company Huawei, including chipmaker Intel, has said it is revoking certain licenses to sell to the Chinese company and intends to refuse dozens of other requests to supply the carrier.

This measure – possibly the last against Huawei under Republican President Donald Trump – is the latest in a long-running effort to weaken the world’s largest manufacturer of telecommunications equipment, which Washington considers a threat to national security.

The notifications came amid a flurry of US efforts against China in the final days of the Trump administration.

In an e-mail seen by Reuters documenting the measures, the Semiconductor Industry Association said: The Ministry of Commerce intends to reject a large number of license applications to export to Huawei and revoke at least one previously issued license.

Sources familiar with the situation said: There has been more than one cancellation and that eight licenses have been withdrawn from four companies.

At least one license was revoked by Japan’s Kioxia, a maker of flash memory chips, and the company, formerly known as Toshiba Memory, said it does not disclose business details related to specific products or customers.

The semiconductor association email said the measures extended to a wide range of products in the semiconductor industry, and the companies asked if they had received notifications.

The email indicated that companies had been waiting months for licensing decisions, and with less than a week remaining in management, dealing with refusals was a challenge.

Companies that received refusal notices have 20 days to respond, and the Ministry of Commerce has 45 days to inform them of any change in the decision or it becomes final, and companies will have another 45 days after that to appeal.

The United States placed Huawei on the Commerce Department’s Entity List in May 2019, and prohibited suppliers from selling American goods and technology to it.

Some sales were allowed and others rejected while the United States stepped up its campaign against the company by expanding the United States’ authority to request licenses for sales of semiconductors made abroad using American technology.

Before the latest measure, there were about 150 pending licenses for $ 120 billion worth of goods and technology that were put on hold because various US agencies could not agree on whether they should be granted.

Another $ 280 billion in licensing applications for Huawei goods and technology has yet to be processed, but it is now likely to be rejected.

This Post Has One Comment

  1. Arden

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