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Huawei
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Tech industry shudders as US weighs new limits on Huawei sales

  • Representatives for US chip makers, software firms and manufacturers furiously lobbying Commerce Department not to implement tougher rules
  • Officials are seeking to close what they consider loopholes that allow American companies to keep working with blacklisted Chinese telecoms giant

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Attendees walk past a display for 5G services from Huawei at the PT Expo in Beijing in October. Photo: AP
Bloomberg

The US government is weighing new limits on sales of chips and other vital components to China’s Huawei Technologies, sparking another furious round of lobbying by technology companies.

Industry associations representing US chip makers, software companies and manufacturers have written to Secretary of Commerce Wilbur Ross in recent weeks arguing against the changes, according to copies obtained by Bloomberg News.

They urge President Donald Trump’s administration to at least hear them out before introducing tougher rules to close what US officials consider loopholes letting American companies keep working with Huawei.

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In May, the US announced an export ban against Huawei, saying it is a national security threat. The Chinese company’s placement on the so-called entity list means it is cut off from US components, and American companies are required to get licences to resume business with the firm.

Huawei has denied it helps the Chinese government gain illicit access to information and that its equipment is insecure.

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