The Trump administration is considering changing U.S. regulations to allow it to...
“What they’re trying to do is make sure that no chips go to Huawei that they can possibly control,” the second source said.
Huawei is at the heart of a battle for global technological dominance between the United States and China. The United States is trying to convince allies to exclude its gear from next generation 5G networks on grounds its equipment could be used by China for spying. Huawei has repeatedly denied the claim.
To target global chip sales to Huawei, U.S. authorities would alter the Foreign Direct Product Rule, which subjects some foreign-made goods based on U.S. technology or software to U.S. regulations.Under the draft proposal, the U.S. government would force foreign companies that use U.S. chipmaking equipment to seek a U.S. license before supplying Huawei - a major expansion of export control authority that could anger U.S. allies worldwide.But a Commerce spokesman said recent U.S.
Others in the Trump administration fear antagonizing Beijing, which just signed a trade deal with Washington. They also worry the restrictions will drive innovation offshore and benefit foreign rivals.
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