US telecoms supply chain rules ‘under review’

ules to implement a White House executive order that is expected to pave the way for China’s Huawei to be banned from the US telecoms supply chain are “under consideration and review,” a Commerce Department official said.
The rules, which were due earlier this month, would implement an earlier declaration of a national emergency in the telecoms supply chain, and are likely to be used by Washington to tighten the squeeze on the telecoms equipment giant.
Speaking at an event in Washington, the official, Eileen Albanese, said the rules were “under consideration and review,” without offering a time line. They are “not yet ready for prime time,” she added.
The White House in May mandated that Commerce write the rules, which will likely spell out new requirements for companies to participate in the telecoms supply chain. That same day, the department placed Huawei Technologies Co Ltd, the world’s No 1 telecoms equipment supplier, on the so-called entity list, citing national security concerns. US companies are banned from selling to Huawei without a special licence.
Although top officials have encouraged US companies to apply for licenses, promising to permit sales of products to Huawei that are readily replaceable and do not compromise US national security, the Commerce Department has yet to issue responses to more than 200 licence requests it has received.
Albanese said the licence requests were still in process and declined to give a time line on issuing them.
Many China-watchers see Huawei as a pawn in the trade war between the United States and China as President Donald Trump’s administration uses the sanctions against one of China’s most successful multinationals to wring concessions out of Beijing.
Concerns about China stealing US technology prompted Congress to pass legislation last year requiring the Commerce Department to write new rules to toughen standards for the export of emerging and foundational technologies to rivals. — Reuters