The Trump administration has enacted several measures to protect U.S. national security, citizens’ privacy, and the integrity of 5G infrastructure from "Beijing’s malign influence," announced US Secretary of State Michael R. Pompeo.
According to a press statement from the Department of State, the Commerce Department;s expansion of its Foreign Direct Product Rule will prevent Huawei from circumventing U.S. law through alternative chip production and provision of off-the-shelf (OTS) chips produced with tools acquired from the United States. This measure follows the more limited expansion of the Foreign Direct Product Rule in May, which Huawei has continuously tried to evade, says Pompeo.
The Commerce Department also added 38 Huawei affiliates to its Entity List, which identifies foreign parties prohibited from receiving certain sensitive technologies and allowed Huawei’s Temporary General License (TGL) to expire. The United States has provided ample time for affected companies and persons – primarily Huawei customers – to identify and shift to other sources of equipment, software, and technology and wind-down their operations, added Pompeo.
"Now that time is up," said Pompeo. "We will not tolerate efforts by the CCP to undermine the privacy of our citizens, our businesses’ intellectual property, or the integrity of next-generation networks worldwide. We are backing up our words with actions across the U.S. Government."
Pompeo cited recent Department of Justice's indictments against Huawei for stealing U.S. technology, conspiracy, wire fraud, bank fraud, racketeering, and helping Iran to evade sanctions, among other charges. "The United States will continue to restrict most U.S. exports to Huawei and its affiliates on the Entity List for activities that threaten U.S. national security and international stability," concluded Pompeo.
